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Q. Assume that re are two profit-maximizing digital cable TV companies operating in this market. Further assume that they are not able to ‘collude' on price and quantity of premium digital channel subscriptions to sell. How much profit will each firm earn when this market reaches Nash equilibrium?
At what level of output are total profit maximized. Illustrate what price will be charged.
Graphically elucidate how electrical monopolist would determine its profit maximizing price and output level. Identify the area of consumer and producer surplus for the profit maximizing monopoly.
Suppose life is discovered on Mars and that it turns out to be quite sophisticated. In fact, perfect competition prevails everywhere on the planet. Which of the following characteristics of Martian firms are we likely to observe.
Elucidate Illustrate what would happen if an outside agency Concluded the prices eBay could charge.
Suppose that velocity is constant at 10, but the nominal money supply increases from $1.1 to $1.21 trillion. Elucidate what must happen to nominal output.
You find that the car requires repairs of 1,200 dollars in order to get it to run. Once it is repaired, it will definitely not break down again. Assuming that the car is worth 3,500 dollars after repairs, should you get it fixed.
If country desires to smooth consumption, explain how much it should borrow in period 0. Illustrate what will level of consumption and trade balance is from then on.
Assume that at the current price, the price elasticity of demand for a campus film series is 1.40. If the objective of the film society is to maximize its total revenue.
Assume a firm has a patent on one of its products whose sale generates $32,700/year more revenue than production costs. If the annual interest rate is 20 percent, what is the market value of this patent.
Elucidate situations which use the IS-LM-FX model to illustrate the effects of the shock. For each case, state the effect of the shock on the following variables.
n the short run, a firm's total costs of producing the hundredth unit of output equal $10,000. If it produces one more unit, its total costs will increase to $10,150. What is marginal cost of the 101st unit of output.
You can either imagine which your organization has received a complaint from a customer or client about a product
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