### What is the deadweight loss arising from monopsony

Assignment Help Microeconomics
##### Reference no: EM13131753

QUESTION 1.

You are at the tail end of your career, working as a high priced consultant for a firm that you are partner in. The Freedmanian Congress is in the process of overhauling the Freedmanian Health Care system and they have hired you to assist them. They would like you to analyze the impact of expanding the demand for health care services while at the same time reducing payments to health care providers.

QUESTION 2.

A firm's long-run total cost curve is TC(Q)=1000Q. Derive the equation for the corresponding long-run average cost curve, AC(Q). Given the equation of the long-
run average cost curve, which of the following statementsis true?

a) The long-run marginal cost curve MC(Q) lies belowAC(Q) for all positive quantities Q.

b) The long-run marginal cost curve MC(Q) is the sameas the AC(Q) for all positive quantities Q.

c) The long-run marginal cost curve MC(Q) lies abovethe AC(Q) for all positive quantities Q.

d) The long-run marginal cost curve MC(Q) lies belowAC(Q) for some positive quantities Q and above theAC(Q) for some positive quantities Q.

QUESTION 3.

National Hospital is the only employer of nursesin the country of Castoria, and it acts as a profit-maximizing monopsonist in the market for nursing labor.The marginal revenue product for nurses is W=50-2N, where w is the wage rate and N is the number ofnurses employed (measured in hundreds of nurses).Nursing services are provided according to the supplyschedule w=14+2n

a) How many nurses does National Hospital employ, andwhat wage will National pay its nurses?

b) What is the deadweight loss arising from monopsony?

### Write a Review

#### Maxima and minima in differential calculus

In economics, when you plot cost and revenue on Price-Quantity axis, the profit maximization condition is when marginal cost is equal to marginal revenue. This is the crucial notion to understand.

#### Alleviate the shortage of math and science

Using the principles of supply and demand, develop a plan to alleviate the shortage of Math and Science teachers within this country. Try to use price and non-price determinants as your tools to reach equilibrium.

#### Nation economic public policy decisions

To what extent do you think normative economic analysis, as opposed to positive economic analysis, determines our country's economic public rule decisions made by the government?

#### Draw a supply-demand diagram of the kenyan mangoes market

Draw a supply-demand diagram of the kenyan mangoes market to illustrate both the autarky and free trade positions. make sure you use all the information presented in the some facts above?

#### Analyze the dynamics of supply and demand

Analyze the dynamics of supply and demand to anticipate market equilibrium and analyze the elasticity of demand and supply and its importance, and the effect of taxes or other public policies.

#### What is the equation of budget line

What is the equation of his budget line and sketch the budget line and two possible indifference curves that Herbert

#### What are the equilibrium price and quantity

Draw a graph of the market for chewing gum. What are the equilibrium price and quantity? Mark the equilibrium price and quantity in the graph.

#### What is the slope of the budget constraint

Please put the quantity of Good X on the horizontal axis, and the quantity of Good Y on the vertical axis. Be sure to label your graph carefully and accurately. What is the slope of the budget constraint?

#### Pricing strategies in monopolistic competition

Describe the pricing strategies in monopolistic competition, oligopoly, and monopoly market models. Explain which market structures are price makers and price takers. What is the difference in the demand curves and why.

#### Short run production function

You manage the plant the mass produces engines by teams of workers using assembly machines. The technology is summarized by production: Find out the short run production function? Find out the total cost function for your plant to produce q engines ..

#### Impacts of innovation and technology on cost of production

Determine what are the impacts of innovation and technology on the cost of production and explain how does technology affect market structure and real world competition?

#### Determine macroeconomic policy

Kenya is a state that is a part of the African Nation. Talk about the exchange rates and their money supply. Also write about whether or not Kenya has a promising future.