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Given the below supply and demand equations for computers,
P = 250 - 2Q (Demand)
P = 50 + 3Q (Supply)
The company decides to increase its marketing expenses to boost its sales and the new supply equation is P = 90 + 3Q and the new demand curve is P = 280 – 2Q. Discover the new equilibrium price and quantity.
By comparing the total revenue, evaluate whether the company must increase its marketing expenses to boost sales.
(1)Compute the optimal prices, and the Lerner index and inverseelasticity of demand for each good. (2)Now suppose the goods are produced by two firms that chooseprices simultaneously. Compute the Nash equilibrium and compare
suppose that you are in charge of designing a product campaign for a new shampoo. this campaign will include among
Determine the degree of operating leverage at an output of 400,000 barrels.
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choose and research an industry where there has been a pattern of change in a particular market model monopoly
The manager of the aerospace division of General Aeronautics has estimated the price it can charge for providing satellite launch services to commercial firms. Her most optimistic estimate (a price not expected to be exceeded more than 10 percent ..
Greg and Tanya Ridpath have two children, ages 6 years and 5 months. Their younger child, Ray, was born with a congenital heart defect that will require several major surgeries in the next few years to fully correct. Greg is employed as a salesperson..
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You observe an Olympic Athlete in the long-jump. Suppose the distance of each jump is a random variable that follows a normal distribution with mean and variance2. He jumps 8 times and records the following distances.
If the merged firm were able to exploit economies of scale it would affect costs, may be even marginal costs. Assume the marginal cost of the merged firm was not 40, but 30. Is the merger profitable in this case?
Due to foreign competition, the market price of recling chairs has fallen to 110. In the short run,
Others meter water use and charge according to the quantity of water customers use. Compare the way the two systems would affect the cost of water use at the margin and the use of water by rational consumers.
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