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The widget Industry in Anytown is a monopoly, controlled by Widget Corp. Its demand curve for the local market is given byP = 800 - 20 WWhere W represents the number of widgets sold per period.The total cost function (including opportunity or implicit costs) for Widget Corp. isTC = 300 + 500 W + 10 W^2
If the industry is regulated and the regulatory authority forces Widget Corp. to earn only a normal return on investment (which is included in its cost function), what is the resulting equilibrium price and quantity?What happens to consumer surplus? What happens to the economic profits earned by Widget Corp.?
The regression coefficient indicates that the PE ratio of a firm that with a higher growth rate will, on average, be 0.948 points times lower than a firm with a lower growth rate. interpretation for the regression coefficient ofGrowth Rate
Suppose the world price for a good is 40 and the domestic demand and supply cureves are given as: Demand: P=80-2Q Supply: P=5+3Q A) How much is consumed? B) How much is produced at home? C) What are the values of consumer and producer surplus?
GeeM has a sporty wheel package and a luxury interior package that is considering offering to its auto boyers. GeeM has estimated that there are three consumer types (A, B, and C - all of equal magnitude - for simplicity, consider it one of each ..
] A perfectly competitive firm faces a market price of $10 for its output X. It own two plants, A and B whose total costs are TC sub A = 10 + 2X + (.25X)2, TC sub B = 15 + .4X + (.1X)2, How many units should each plant produce to maximize profit at t..
Assume your money could earn 5.0% per year in low risk securities in the 7 year period in question. Using that same amount, what amount, invested each year for the next 4 years would be sufficient to cover the future costs at the end of years 5 th..
the general price inflation in our economy, the purchasing power of the dollar shrinks with the passage of time. If the average general inflation rate is expected to be 7% per year for the foreseeable future, how many years will it take for the do..
Calculate the equilibrium price and quantitiy in the chocolate market. How much does a firm of each type produce Calculate the consumer and producer surplus What is the producer surplus for an individual firm of each type
The Annual Benefits may be assumed to be one tenth of the decade benefits. The O & M Cost of the project is estimated to $15000 per year. Assume a 50 Year Analysis Period with no net project salvage Value. Purpose 1 decade 2 decade 3 decade 4 deca..
A contractor purchases a piece of equipment for $26,000. The equipment requires an average expenditure of $9.25 per hour for fuel and maintenance, and the operator is paid $15.50 per hour to operate the machinery. Find the average cost function.
The comparative advantage for pizza production belongs to __________ and the comparative advantage for pizza delivery belongs to __________. Based on their comparative advantages, Pat should specialize in _______ while Corey should specialize in ____..
John's Lawn Mowing Service is a small business that acts as a price taker. John's short-run total cost is given by STC = 0.1q2 + 10q + 50, where q is the number of acres John chooses to cut a day. Total fixed cost is TFC = 50 and total variable co..
Your company is considering purchase of a new DNA analyzer for $250,000. This should open up a new business revenue stream for product testing which will produce $80,000 per year in revenue. Annual operating costs are estimated at $10,000 per ye..
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