Already have an account? Get multiple benefits of using own account!
Login in your account..!
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
Suppose that a manufacturer is a monopolist in selling some product to a number of competitive retailers at wholesale price w. The manufacturer has marginal cost of $10 per unit. Each retailer pays w to the manufacturer and charges p for each unit it sells to the consumers. The demand that retailers face in final product market is given by Q = 110 ? p.
a. What is the market equilibrium retail price p? What is the profit-maximization wholesale price w for the manufacturer to set? How many units of products will the retailer sell and what will the profit be? Calculate the consumer surplus.
b. Consider a proposed vertical merger between the manufacturer and one of the retailers. Derive the post-merger market outcomes, i.e. retail price, quantity, profit and consumer surplus.
c. Compare your answers in (a) and (b). How will the vertical merger affect profit and consumer welfare?
Calculate the price elasticity demand for bus rides. Next, suppose that the bus schedule is changed so that buses are 10 percent more frequent and that rider-ship subsequently
A price-weighted index consists of stocks A, B, and C which are priced at $38, $21, and $26 a share, respectively. The current index divisor is 2.7. What will the new index di
Social Security payments and tax revenues may be considered “on-budget”—i.e., as part of the U.S. general budget no different than defense spending supported by income and oth
Suppose the T-account for ABC bank is as follows: assets: reserves($150000), loans(250,000)and deposits $400,000.if the fed requires banks to hold a 10 percent of deposits a
Do you think in legal matters and health matters and so forth people should be economically valued differently? or should there be one standard amount each person is worth/
oe Doe deposited $ 51,000 in your savings account. The interest rate is 10% compounded semiannually. How old will take to reach $ 72.600.00 investment? 5. You have deposited $
Suppose you get your master’s degree in civil engineering and have the three following career options upon graduation: you can work for a governmental agency, you can work for
Monopolistic competition is different from monopoly because monopolistic competition is characterized by free entry, whereas monopoly is characterized by barriers to entry. Mo
Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd