What is the profit maximising price of dominans

Assignment Help Macroeconomics
Reference no: EM131166810

The average avoidable cost for a fringe firm is AAC(q)=20/q+5q. The marginal cost function for a fringe firm is MC=10q. There are 10 fringe firms . The marginal cost of the dominant firm is 2 and the demand function ia Q= 100-p a) what is the supply function of the fringe b) what is the residual demand function for the dominand firm? c) what is the profit maximising price of dominans firm d) compare monopoly profits to the profit of the dominans firm. Which market structure is socially preferable, dominant firm or monopoly ?why?

Reference no: EM131166810

Questions Cloud

Reducing government revenues : Name the curved graph that illustrates the theory that, if tax rates rise beyond a certain level, they discourage economic growth, thereby reducing government revenues.
How would you describe yourself in terms of religion : Now it is time to express your own religious beliefs. How would you describe yourself in terms of religion and faith? Devout and traditional, not very profound in your beliefs, or uninterested in organized religion?
Compare how the different divisions performed : compare how the different divisions performed- Clearly state how the firm performed as a whole- Determine the gross margin mix, selling price, and sales volume variances.
Construct a finite-state machine for a combination lock : Each input is a triple consisting of a number, the direction of the turn, and the number of times the lock is turned in that direction.
What is the profit maximising price of dominans : a) what is the supply function of the fringe b) what is the residual demand function for the dominand firm? c) what is the profit maximising price of dominans firm d) compare monopoly profits to the profit of the dominans firm. Which market struct..
Construct a finite-state machine for a toll machine : Construct a finite-state machine for a toll machine that opens a gate after 25 cents, in nickels, dimes, or quarters, has been deposited. No change is given for overpayment, and no credit is given to the next driver when more than 25 cents has bee..
Do you feel that pledge of allegiance has place in us school : Do you feel that the Pledge of Allegiance has a place in American schools? Should students be encouraged (compelled) to recite it every morning?
Determine what view is most useful to your company and why : Compare and contrast two sets of alternative views, illuminating the reasons for the distinctions. Consider your most recent employer and determine what view is most useful to your company and why
Quantity demanded of a good responds : Define the measure of how much the quantity demanded of a good responds too a change in consumer's income, computed as the percentage change in quantity demanded divided by the percentage change in income?

Reviews

Write a Review

Macroeconomics Questions & Answers

  Compute the reservation wage

Cindy gains utility from consumption and leisure. The most leisure she can consume in a week is 168 hours.

  Example for an economy

Explain the concept of opportunity cost. Provide a simple example for an economy and a simple example for an individual. How is it related to scarce resources? Explain scarce resources for an economy and for individuals.

  Differences between monetary and banking systems

Select a country outside of the United States and research the similarities and differences between the monetary and banking systems of that country and those of the United States.

  What is the current macroeconomic situation

What is the "current macroeconomic situation" (e.g. worrying about inflation and/or recession) in the U.S.? What should the U.S. Congress and the Federal Reserve do about it?

  What the results of the regression equation

develop a regression equation using any data. Use the regression equation to focus the demand for the product you chose for the next three periods. Assess what the results of the regression equation tells managers and how it is likely to impact de..

  1 suppose honey is produced in a beehive using bees and

1. suppose honey is produced in a beehive using bees and sugar. each honey producer uses one beehive which she rents

  Desoto seated in a barcelona cafe drinking absinthe

Desoto seated in a Barcelona cafe drinking absinthe. The painting was done in 1903 and valued then at $600. If the painting was owned by the same family until its sale in 1995, what rate of return did they receive on the $600 investment?

  Computing optimal output and price levels

Tyvex LLC produces professional quality color laser printers. The market for professional color laser printers is monopolistically competitive. Suppoe that the inverse demand curve faced by Tyvex

  Why the board of governors of the federal reserve system is

Explain why the Board of Governors of the Federal Reserve System is considered so powerful. What are its major powers and which is the most important?

  The city with the higher cpi must have a higher cost

If one city has a higher CPI than another city, the city with the higher CPI must have a higher cost of living.     a. true    b. false

  Compute the monopolists optimal price and quantity

Compute the monopolist's optimal price and quantity under the assumption that the monopolist is a quantity setter, i.e. the monopolist chooses the quantity that maximizes its profits. We refer to this as the Cournot model of the monopolist's behav..

  Choice and opportunity cost

suppose you go to a restaurant and buy an expensive meal. Halfway through despite feeling quite full, you decide to clean your plate. After all, you think you paid for the meal. So you are going to eat all of it. What’s wrong with this thinking?.

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