Monopolist produces at constant marginal cost

Assignment Help Business Economics
Reference no: EM13735942

A monopolist produces at constant marginal cost c = 1 It sells the product in the domestic market, where demand is Qd = 5 ? Pd, and some foreign markets with total demand Qf = 2 ? Pf Find the prices that will set in each market and the proportion of output that exports. What is the relationship of the price in each market with the relative elasticities of demand? Suppose now that some domestic customers discover that can buy the good of the monopolist in the foreign market, how do you expect that this would change domestic demand and pricing by the monopolist?

Reference no: EM13735942

Questions Cloud

Any other strategy in the reduced form game : There are three ice cream vendors who are deciding where to locate on a beach. The only decision that they have to make is where to locate the store that they have to run. There are 10 positions available on the beach and costumers are uniformly dist..
What are the implications of that for pst : Characterise Peak Sealing Technologies' (PST's) orientation to the market and its overall values and marketing strategy. Summarize succinctly the dilemma the company is facing.
Fixed marketing expenses-fixed admin expenses : A company makes calendars and sells them for $10 each. cost per unit is: direct materials $1.50, direct labor $1.20, variable overhead .90, variable marketing expense .40. Fixed marketing expenses total $13000 and fixed admin expenses total $35000. W..
The demand curve facing a monopoly firm : The demand curve facing a monopoly firm is given by the equation P = 1000-5Q. The firm produces at a constant marginal and average cost equal to $100. Using this information, calculate: The profit maximizing quantity; the profit maximizing price; tot..
Monopolist produces at constant marginal cost : A monopolist produces at constant marginal cost c = 1 It sells the product in the domestic market, where demand is Qd = 5 ? Pd, and some foreign markets with total demand Qf = 2 ? Pf Find the prices that will set in each market and the proportion of ..
Beneficiary of primary market for windows operating system : What is the biggest beneficiary of the primary market (of the multi-sided network effects) for the Windows Operating System?
Prepare a marketing plan for kim woods : Prepare a Marketing plan for Kim woods. The paper for your term project is due this week. Your term project for this class is a 8-15 page marketing plan for the product or service that was approved in your week one proposal
Explain the growth of christianity to decay of roman virtue : Did the emergence and growth of Christianity contribute to the decay of "Roman virtue"? Consider the ways Christianity came into conflict with the Roman State Religion.
Cigarette consumption and consumer spending on cigarettes : According to studies undertaken by the Department of Agriculture, the price elasticity of demand for cigarettes is approximately -0.3 and the income elasticity is approximately 0.5. What effect would a 10% increase in the price of cigarettes due to i..

Reviews

Write a Review

 

Business Economics Questions & Answers

  Car industry sales of big ticket items in particular the

car industry sales of big ticket items in particular the autos declined strongly during the current recession and the

  Examine the economic impact of current approaches

Analyze the economic impact of current approaches to controlling air pollution to determine which approach is the most effective. Provide support for your rationale.

  League with two teams

Consider a league with two teams that might engage in doping. If neither team engages in doping, the odds that Team A will win the league championship are 65% and the odds that

  Illustrate what are the limitations of the wealth-maximizati

Should the objective of the firm be shareholder wealth-maximization. Illustrate what are the limitations of the wealth-maximization model of the firm. What are the alternative models of the firm.

  Explain how each of the following will affect the average

Explain how each of the following will affect the average fixed cost, average variable cost, average total cost, and marginal cost curves faced by a steel manufacturer.

  How the new international business environment is causing

Illustrate and reinforce your answer with any theories from international trade and FDI theories.

  How do se forces differ from external stakeholders

Identify at least four forces in general environment of organizations and provide an example of each for an industry or business. How do se forces differ from external stakeholders in task environment.

  Two alternative recreation projects

A county is considering using a piece of park land for one of two alternative recreation projects. Project S would require construction costs of $2 million (year 0) and generate net benefits of $1 million per year for 10 years.

  At some levels of output acmes average total costs

At some levels of output Acme's average total costs are less than Generic's, but at some levels of output Generic's average costs are less than Acme's.

  Illustrate the effects of a tariff on imports

Assume that the nation is not large enough to affect the world price. Illustrate the effects of a tariff on imports.

  Illustrate what way is per capita gdp a better measure

illustrate what way is Per Capita GDP a better measure of economic well being than GDP. How does this relate to economic problems in the undeveloped world.

  Illustrate what is this economy capacity to produce.

According to the production function, with 300 labor hours, illustrate what is this economy's capacity to produce

Free Assignment Quote

Assured A++ Grade

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