1. (a)During lunch or dinner hours, patrons of many restaurants need to wait for a long time before there are tables for them. Explain the concepts of "pecuniary price" and "full-economic price" using this example with a suitable diagram. An economics student comments on this phenomenon: "Sellers are not maximizing to let this phenomenon happen." Explain the rationale behind this student's comment and discuss whether agree with it. (10 marks)
2. (b)As a manager, you would like to develop a demand equation for your restaurant, suggest FOUR variables might affect the demand for your firm. Explain briefly. (8 marks)