Posts Tagged ‘efficiency’

  • Through marginal analysis, we can see how drive throughs are supposwd to maximize profit margins with less time, more accuracy and customer service.

    Starbucks Drive-Through Economics

    May 24, 14 • 458 Views • No Comments

    My new Starbucks has a drive-through. If you look at a high shelf near the window through which the baristas hand the coffee and food to drivers, you see a screen with little cars and numbers. Changing from green to yellow to red, the color of each car...  [read more]

  • Industries afflicted with Baumol's Disease have slower productivity growth.

    Cheesecake Medicine?

    Aug 7, 12 • 235 Views • No Comments

    Could Cheesecake Factory help us fix our healthcare system? Touring the kitchen of a Cheesecake Factory restaurant, you would see arrival, refrigeration and storage areas, and cutting, mixing, chopping and combining zones. Preparing the 308 dinner choices...  [read more]

  • Obama/Biden and Romney/Ryan Issues

    Election Economics: Assessing Outsourcing

    Jul 16, 12 • 311 Views • 4 Comments

    Until November 6, at econlife, Mondays will be about presidential election economics. In 2004, when President Bush’s Council of Economic Advisers chairman, Harvard professor Greg Mankiw, was lambasted for saying, “… I think outsourcing is a...  [read more]

  • airlines industry...airplanes.16825_3.15a_000002547262XSmall

    Your Airfare and Airline Profits

    Jul 1, 12 • 338 Views • No Comments

    What does your airline ticket pay for? In order of size, these represent the expenses for a US Airways flight according to WSJ journalist Scott McCartney: Fuel (close to 30%) Salaries (maybe 20%) Buying and leasing planes (16%) Federal taxes (14%) Total...  [read more]

  • lightbulb

    A Better Ketchup Bottle?

    May 25, 12 • 278 Views • No Comments

    In a 1964 TV commercial, during a pouring contest between 2 young boys, Heinz ketchup was “…too thick and rich to run.” In another ad, Heinz lost an OK Coral duel because it was the “slowest ketchup in the west…east, north and...  [read more]