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A monopolist faces a market demand curve given by: Q = 70 – P. This monopolist perfectly price discriminate among its customers. If the monopolist can produce at constant average and marginal costs of AC = MC = 6, what are the monopolist’s profits are equal to?
Would your answer change if BOC could issue SFr commercial paper supported by the revolving credit at 3.5%.
Suppose that you own a 25 year old movie theater in Micropolis. It has 6 screens and a concession stand. Across town there is a 7 year old movie theater with 4 IMAX screens and 20 more regular screens. Now that you have looked at these characteristi..
When the unemployment rate is_____ than the natural unemployment rate, real GDP _______. At a business cycle trough, cyclical unemployment is ____ and at a business cycle peak, cyclical unemployment is _____.
There are about four major forms of Non-Equity Modes (NEM) of entry (contract manufacturing and service outsourcing, franchising, licensing and contract farming) by a multinational company into a host country. For each of these modes describe the fac..
A monopolist's demand function is P = 1624 - 4Q, and its total cost function is TC = 22,000 + 24Q -4Q2 + 1/3 Q3, where Q is output produced and sold. D) The total profits will be maximized at P =?
q.q1. consider two persons ann and bill and two-goodsx and y exchange economy. the total endowment of the economy is
Draw your budget constraint assuming that you pay no taxes (and receive no subsidies) on your income. On the same diagram, draw another budget constraint assuming that you receive a 20 percent subsidy (that is, for every dollar you receive in labor m..
Mary consumes two goods, Diet Coke (X) and Cheeseburgers (Y). Mary’s Utility function is represented by U(X,Y) = 3XY2 . Her marginal utility function for X is MUx = 3Y2 . Her marginal utility function for MUy = 6XY.Write an expression for Mary’s budg..
The makers of Tylenol pain reliever do a lot of advertising and have loyal customers. In contrast, the makers of generic acetaminophen do no advertising, and their customers shop only for the lowest price. Assume that the marginal costs of Tylenol
What are the defining characteristics of the luxury goods industry? What is the industry like? (Describe market size and growth rate, scope of rivalry, consumer characteristics, degree of product differentiation, etc.) How is the market for luxury ha..
If the price of a slice of pizza at a local pizzeria is $5.00 and the quantity demanded at this price is 50 slices. What is the price elasticity of demand for pizza if, when the price is increased to $5.50, the quantity demanded for pizza slices fall..
Your cousin wants to start his own business, and he is in a hurry. He has decided not to write a marketing plan because he thinks that preparing such a document would take too long. He says he doesn’t need a formal proposal because he has already rec..
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