Lenny, a Graduate Research Assistant, "Moonlights" at the Short Order

question 95

Short Answer

Lenny, a graduate research assistant, "moonlights" at the short order counter in the student union snack bar in the evenings. He is the only one on duty at the counter during the hours he works. Arrivals to the counter seem to follow the Poisson distribution with a mean of 8 per hour. Each customer is served one at a time and the service time follows an exponential distribution with a mean of 5 minutes.
-The manager thinks that students will go elsewhere for lunch if they have to wait more than 5 minutes. Therefore he's thinking of hiring another server to help Lenny, reducing the customer service time to 4 minutes. How long will students wait in line if Lenny gets help?

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Definitions:

Supply-Side Economists

Economists who advocate for policies that increase production as the best way to foster economic growth, emphasizing the role of supply in driving economic outcomes.

Tax Rates

The percentage at which an individual or corporation is taxed by the government on income or profits.

Tax Revenue

Revenue collected by governments from taxes.

Keynesian Economists

Scholars and practitioners of economics who follow and build upon the theories of John Maynard Keynes, emphasizing the importance of total spending in the economy and government interventions to stabilize economic cycles.