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Assume that a monopolist has a demand curve given by P = 1500 − 4Q, and T C = 100 + 5Q2 with MC = 10Q. (a) Graph the Demand, Marginal Revenue, Marginal Cost, and Average Total Cost curves. (b) What are the equilibrium price and quantity for this monopolist if it charges a single price to everyone? (c) How much profit does the firm make? (d) Show on the graph whether this market is operating efficiently. (e) Calculate the dead weight loss. (f) Calculate the consumer surplus. (g) Calculate the producer surplus.
If the United States imports a specific product and exports a different product, what is the likely effect on the price of the product that the United States imports?
The length of a Colorado brook trout is normally distributed. Illustrate what is the probability that a brook trout's length exceeds the mean.
If an asset costs $15,000 and after 3 years the salvage value is $2,000, what is the book value at the end of year 2 using SOYD? What does MACRS stand for? A new motorcycle costs $4,000 and has a lifespan of 10 years. The salvage value is $500. Using..
A firm has a production function represented by: q=L^(.75)K^(.25). Find a function for how much capital and labor a firm should hire to produce a given level of production in terms of the price of labor, w, and the price capital, r.
Use a supply and demand graph for bonds to show the effect of each of the following situations. Show any shifts of the curves and movements in price and quantities. Additionally, mention what happens to the interest rates.
If I spent all my money ($450,000) on a new house I could buy a house with 4500 square feet. I settle for a 1500 square foot house. (Each square foot costs the same.) The day after I close the deal a nearby nuclear power plant is condemned and the va..
Plywood is used in the construction of houses. If the price of plywood rises, what happens to the supply of houses
Describe the process in the money market (demand and supply of/for money) by which the interest rate reaches its equilibrium value if it starts above equilibrium. (Principles of Macroeconomics)
A construction Company entered into a contract to build an apartment building. It is estimated that the building will cost $5,000,000 and will take 2 years to complete. The MARR(minimum acceptable rate of returns) is 8%. The land cost 10 million $. T..
May be imposed either to raise revenue (revenue tariffs) or to shield domestic producers from foreign competition (protective tariffs).
Assume the supply function for good X can be written as Qs = -100 + 27Px - 5Py - 1.8W, where px=the price of x, Py=the price of good y, and w = wage index for workers in industry x. According to this equation: 1. each one unit increase in price cause..
Illustrate what will happen to equilibrium price As a local cable company offers cheaper pay- per-view films, local movie theaters have more unfilled seats.
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