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A monopolist is deciding how to allocate output between two geographically separated markets
(East Coast and Midwest). Demand and marginal revenue for the two markets are:
P1 = 15 -Q1 ----> MR1 = 15 - 2Q1
P2 = 25 - 2Q2 ----> MR2 = 25 - 4Q2
The monopolists total cost is C = 5 - 3(Q1 - Q2 ). What are price, output, prots, marginal revenues, and deadweight loss if
(a) the monopolist can price discriminate?
(b) if the law prohibits charging deferent prices in the two regions?
Mrs. Siegal has two alternative activities to help relieve her backache. In the first, she can visit a physiotherapist. The total time for a physiotherapist visit, including travel and waiting, is two hours. Mrs. Siegal earns a wage of $20 an hour. P..
If there are multiple highest bids, then the winner is the bidder whose valuation is the highest or whose index is the smallest among the highest bidders.
Two power plants are currently emitting 8,000 tons of pollution each (for a total of 1,600 tons). Pollution reduction costs for Plant 1 are given by MCR(1)=.02Q and for Plant 2 by MCR(2)=.03Q, where Q represents the number of tons of pollution reduct..
Think of a business firm you recently visited (such as Walmart, Home Depot, Red Lobster, Barnes & Noble, McDonald’s, etc.). What motivated the producers of all the individual products in the store to make them and offer them for sale?
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a company builds furniture. recently different woods they use have become harder to obtain. consultation with
a. choose a country and from last next 4 weeks collect as much current economic data data that will be released over
q1. sanborn a manufacturer of electric roof vents realizes a cost of 55.00 for every unit it produces. its total fixed
Explain how would a citizen whose income is in the bottom one percent talk about scarcity and trade-offs.
A supermarket wants to allocate 1.75% as bounce to reward the hardworking employees from the total that will be made annually. The sales are expected to be $250,180 in the first year and $262,180 in the second year. The amount increases each year by ..
who operates the industry as a monopoly and seeks to maximize profits from the sale of computers. Elucidate which of the following is a likely consequence of the monopolization of the industry.
Seller surplus is _________.
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