Reference no: EM131165822
1. Consider two firms out of a competitive industry. They have the following technologies: C1(Y) = y2 + 2y; C2(y) = 1.5y2 + 3y. Show these firms' individual supply functions on a clearly-labelled graph. Construct an aggregate supply function for these two firms on your graph.
2. Consider three firms out of a competitive industry. They have the following technologies: C1 = y2 +9; C2 = y2 + y + 9; C3 = y2 + 2y+ 9.
a. For each firm derive the SAC, SMC and AVC. Show these curves on three graphs, one for each firm.
b. Suppose that in the short run the market price is 7. Show each firm's profit on your graphs. Should all of these firms produce? Explain.
3. A monopolist has access to an industry with market demand
P = 10 - y
where y is the firm's quantity. Its cost function is
C(y) = 2y
a. Determine the firm's profit maximizing quantity. Show your outcome on a graph. What is the firm's profit? Compute the point-elasticity of demand at the profit-maximizing output.
b. Now suppose the firm's cost function is C(y) = 4y
Again determine the profit-maximizing quantity, profit and the elasticity at the profit-maximizing quantity. (No graph is required in this case.)
c. Essentially, we have two types of monopolist. Which monopolist type operates at the higher level of elasticity? Why?
d. Prove that for any linear demand, p = a - by, and constant marginal cost, c, that a monopolist would never ever operate at a point elasticity less than 1.
|
Draw all full binary trees on seven vertices
: A(left, right) child of a vertex in a binary tree is the root of a (left, right) subtree of that vertex. A binary tree is a full binary tree if each vertex has either two nonempty children or two empty children (a vertex with two empty children is..
|
|
Calculate the strategic npv
: a) Use the information provided to calculate the strategic NPV, NPV strategic , for Asor Products' proposed equipment expenditure. b) Judging on the basis of the findings in part a, what action should jenny recommend to management with regard to ..
|
|
Breadth first number of a vertex is the number of vertices
: It may seem clear to some people that the breadth first number of a vertex is the number of vertices previously added to the tree. However the breadth first number was not actually defined in this way. Give a proof that the breadth first number of..
|
|
Why would the relationships be identifying or nonidentifying
: Draw the relationships that follow. Would the relationships be identifying or nonidentifying? Why? A patient must be assigned to only one doctor, and a doctor can have many patients.
|
|
Construct an aggregate supply function
: Consider two firms out of a competitive industry. They have the following technologies: C1(Y) = y2 + 2y; C2(y) = 1.5y2 + 3y. Show these firms' individual supply functions on a clearly-labelled graph. Construct an aggregate supply function for these ..
|
|
Identify two interdisciplinary or cross-cutting competencies
: Identify two interdisciplinary/cross-cutting competencies that you could use in your project. How does it apply to your project?
|
|
Weighted cost of component
: Need help finding Apple's Yield to Maturity, Average Tax Rate, 5 year treasury bond, Return on the top 500 stocks, After-tax cost of debt-weight of component
|
|
What general type would you recommend for top management
: what general type would you recommend for top management? For middle management? For supervisory management? For production employees?
|