What price and output will occur under pure monopoly

Assignment Help Econometrics
Reference no: EM13206509

Assume the industry demand for a product is P = 1,000 - 20Q. Assume that the marginal cost of product is $10 per unit. A. What price and output will occur under pure competition? What price and output will occur under pure monopoly (assume one price is charged to all customers)? B. Draw a graph that shows the lost gains from trade that result from having a monopoly.

Reference no: EM13206509

Questions Cloud

Explain the freezing point of water under a pressure of mpa : What is the freezing point of water under a pressure of MPa? Assume that the density of ice is 0.915 g.cm^-3 and that of liquid water is 0.998 g cm^-3 at this pressure
Find the volume of one of smaller wedges cut from a sphere : find the volume of one of the smaller wedges cut from a sphere of radius 27 by two planes that intersect along a diameter at an angle of pi/6.
What is current average product of labor for powerguns co : The monthly wage rate is $3,000 per worker and the monthly rental rate for a machine is $6,000. Currently PowerGuns Co. employs 25 workers and 40 machines. Assume perfect divisibility of labor and machines. A. What is the current average product o..
Find the volume v of water in the bowl : Find the volume V of water in the bowl. Consider two cases: one in which the ball is not completely submerged and the other in which it is.
What price and output will occur under pure monopoly : Assume the industry demand for a product is P = 1,000 - 20Q. Assume that the marginal cost of product is $10 per unit. A. What price and output will occur under pure competition What price and output will occur under pure monopoly
State naoh is added to tert-butyl chloride acetone solution : Background: If aqueous NaOH is added to tert-butyl chloride acetone solution, initially the solution is basic due to the hydroxide ions from the NaOH.
Find the length of arc ac if the diameter : Find the length of arc AC if the diameter, AB, of circle O is 24 cm. Write answer in terms of pi.
Write an essay that demonstrates your depth of understanding : Write an essay that demonstrates your depth of understanding of the relevant legal instruments and their practical applications to business owners.
At what price and quantity is zenvoxs total revenue maximize : The Zenvox Television Company faces a demand function for its products that can be expressed as Q = 4,000 - P + 0.5I, where Q is the number of televisions, P is the price per television and I is the average monthly income. Average monthly income i..

Reviews

Write a Review

Econometrics Questions & Answers

  What is the discount rate in the banking system

How much excess reserve does the deposit generate for the bank?(b).  What is the maximum amount of new money that can be created in the banking system as a result of this deposit? Show all work. (c.)  What is the Discount Rate in the banking system?

  The tourism revenue generated by the ride is closest to what

A ride is built and Revenue is projected to be $1 million initially (i.e., at time 0), $1.05 million after the first month, $1.1025 million after the second month, and amounts increasing by 5% each month through the first year.

  What are the equilibrium price and quantity

If the monopolist is left unregulated, what are the market price and quantity, the monopolists profit, consumer surplus, producer surplus, total surplus, and dead weight loss. If the monopolist is forced to produce where P = MC, what are the eq..

  Construct a table to report the regressions

Construct a table to report the regressions above, which includes the estimates, the standard errors, and adjusted R-square and find the estimated coefficient of ln(Y earsSchool) in Regression B. What is the interpretation of it?

  Estimate of cross-price elasticity of demand for gasoline

Provide an estimate of the cross-price elasticity of demand for gasoline, both with respect to new cars and with respect to used cars. Are these estimates statistically significant? Do they align with economic theory? Give an interpretation of y..

  Calculate the marginal revenue curve

Suppose that a firm faces a demand curve that has a constant elasticity of -2. This demand curve is given by q = 256/P^2. Suppose also that the firm has a marginal cost curve of the form MC = 0.001q. a) Graph these demand and marginal cost curves

  Where is the economy operating relative to potential gdp

What is the relationship between potential output and the natural rate of unemployment If the economy currently has a frictional unemployment rate of 2 percent, structural unemployment of 2 percent, seasonal unemployment of 0.5 percent

  What is the probability that the project will be completed

You determine the critical path consists of only five activities. You then compute the variances for the five critical path activities and these variances are 3,4,2,1 and 6 days. what is the probability that the project will be completed.

  When to include the trade-offs or opportunity costs

Assume that the country is in a period of high unemployment, interest rates are at almost zero, inflation is about 2% per year, and GDP growth is less than 2% per year. Suggest how fiscal and monetary policy can move those numbers to an acceptable..

  How often to go to atm when norminal interest rate is higher

Solve Tracy's problem of how often to go to the ATM when the norminal interest rate on her bank account is 10%, she spends $30 each day, it costs her $0.50 each time she uses the ATM, and she thinks that there is a 15% chance that she will lose he..

  What will be jeffs expected utility from the gamble

Jeff holds $50,000 wealth which has a utility of 7.07 utils (assuming utility is the square root of wealth in thousand dollars). He considers investing this in a gamble which has a 0.6 probability of increasing his total wealth to $100,000 and 0.4..

  Determine the growth rate of the population

Real gdp per capita Labor productivity What was the growth rate of the population between 2008 and 2009, round to the nearest percent ?

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