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In the model of a dominant firm, assume that the fringe supply curve is given by Q = -1 +0.2P, where P is market price and Q is output. Demand is given by Q = 11-P.What will price and output be if there is no dominant firm? Now assume that there is a dominant firm, whose marginal cost is constant at $6. Derive the residual demand curve that it faces and calculate its profit-maximizing output and price.
Ryan Witz sells vacuum cleaners door-to-door. After showing Mrs. Davis several models and demonstrations, Ryan can tell she is hesitant but interested. Which trial closing is Ryan likely to use to ensure a sale
Explain how would you explain reservations in the United States about the implementation of NAFTA. Do you think that NAFTA is a "good thing".
During 2003 the value of oil increased, which in turn caused the price of natural gas to increase. This can best be explained by saying that oil and natural gas are:
Write down a response in APA format that provides an economic profile of the trucking industry.
Roger spends all of his money on racquetballs and food. What would happen to Roger's budget line if his income increased by 10 percent, holding prices constant a)it would shift inward b)it would pivot about the axis for foodc)it would pivot about t..
Suppose that the assumption in key concept are satisfied. Show that X i is a valid instrument. That is, show that key concept 12.3 is satisfied with Z i = X i .
To maximize total income should the price be increased or decreased
Show whether each of the following statements is true or false, and explain why.
How much will this consumer be willing to pay for the product if the firm offering the reliable product includes warranty that will protect the consumer? Explain.
Explain how much should the store charge for an yearly membership in order to extract the entire consumer surplus via an optimal two-part pricing strategy.
Consumption accounts for about 60% of GDP, while investments accounts for about 20% for GDP. But many economists think that, to understand economic recession, it is more significant to look at investment than consumption. Why?
John is willing to purchase 7 computers. This scenario displays the law of demand. Do you agree or disagree.
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