Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
Consider a two-commodity economy with 400 identical consumers. Each has the utilityfunction U = x1x2 and each has an income of 20. The x1-commodity is produced by 100price-taking profit-maximizing firms. Forty of them have the total cost function C(q) = q2and sixty of them have the total cost function C(q) = 2q2.
(a) Find a formula for the demand curve for x1-commodity. Your formula will tell us thequantity demanded at any price P.
(b) Find the supply curve for the x1-commodity.
(c) Find the price at which demand for the x1-commodity equals supply.
(d) Graph the supply and demand curves.
Hints:• Note that if an individual's utility function is given by U(x1, x2) = xα1 xβ2 with budgetconstraint of p1x1 + p2x2 = I, then the individual's demand for each commodity isgiven by:x∗1 =αα + βIp1x∗2 =βα + βIp2(See the Overview Notes posted on Angel, Section 11, for a proof of this shortcut)• Market demand is the sum of individual demand curves• To find the quantity supplied by a profit maximizing firm in a competitive market, setprice equal to marginal cost• Market supply is the sum of firm supply curves
You should comment on the success and/or failure of its approach and implementation as stated in the text and posted readings and how it may have modified its organization, supply or marketing over time given changes in its markets
what is the affect of inflation on the international business? why do countries with high gni and gdp are attractive
In any city at any time, some of the stock of usable office space is vacant. This vacant office space is unemployed capital. How would you explain this phenomenon Is it a social problem
Suppose you run a manufacturing business that is involved in manufacturing and selling a single product. The fixed cost to run the business is $15,000 and the constant marginal cost is $7.50 per unit. The sale price of your product is $15 per unit.
Why does the government have a bad reputation of being inefficient? And if it is inefficient in some areas and not others, does that mean they should privatize the inefficient responsibilities?
Suppose you're a city planner working on new industrial park and contemplating the use of industrial ecosystem. Describe the major advantages and disadvantages of industrial ecosystem which you would consider in making your decision.
If the elasticity of demand by students for students for MSOffice is 5, while the elasticity of demand by business professional is 2, and the marginal cost of producing another bundle of the office suite is $50, what are the profit mazimizing pric..
why are many governments in todays world liberalizing cross-border movements of goods services and resources?what are
Describe what would happen in market in terms of the supply and demand curve and What is the equilibrium Price and Quantity in the market?
The problem is from Economics. The problem is explains about the failure of markets to protect environmental quality and the factors that influence the price consumers pay for land.
Cars are lasting longer. The expected number of miles travelled over a vehicle's life has risen to 180,000 miles in 2001 from 128,000 in 1977. But, new car buyers tend to keep their cars about the same length of time before trading them in. Using dem..
Normal 0 false false false EN-US X-NONE X-NONE Probability distributions a..
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!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd