Determination of monopoly price-output and consumer surplus

Assignment Help Macroeconomics
Reference no: EM1316107

Consider a monopolist facing demand curve Q = 100 - P. MC=AC=$20.

a. Find the monopoly price, profits, and consumer surplus.
b. Find the perfectly competitive price, quantity, profits, and consumer surplus.
c. How much deadweight loss is due to monopolization?
d. If the monopolist can perfectly price discriminate (1st degree), find the total quantity sold, the marginal price for the last unit sold, consumer surplus, profit, deadweight loss.

Reference no: EM1316107

Questions Cloud

Calculation of various leverage : Calculation of various leverage and What is McFrugal's degree of operating leverage at a sales level of $20 million
What is the proportion of people that score at least 700 : The average number of hours of sleep per night that a college freshman gets is 6.50 with a standard deviation of 1.80 hours.  If 35 college freshmen are randomly chosen find the probability that they average at least seven hours of sleep per night.
Find out the forecast value utilizing three month : Find out  the forecast value utilizing three month moving average method, weighted moving average method, exponential smoothing and regression methods.
Solve the following equations : Solve the following equations
Determination of monopoly price-output and consumer surplus : Consider a monopolist facing demand curve Q = 100 - P. MC=AC=$20. Find out the monopoly price, profits, and consumer surplus.
Objective type question on dividend decisions : Objective type question on dividend decisions and Low dividends may increase stock value according to which
Probability of a randomly selected automobile : What is the probability that a randomly selected automobile manufactured by the company will have a defective microprocessor?
Models are best suited to forecast a time series : Multiple choice question using Forecasting techniques. Which among of the following models are best suited to forecast a time series with a stable seasonality component.
Solve the quadratic and algebraic equations : Solve the quadratic and algebraic equations

Reviews

Write a Review

Macroeconomics Questions & Answers

  Comparative advantage and terms of trade

Suppose two nations are considering specializing in either calculators or personal computers. If solely producing calculators, country A can produce 300 and country B can produce 400.

  Analyzing comparative advantage theory

Draw a diagram describing autarky and a pattern of comparative advantage for your example.

  Finding present value and the maturity value

How is interest rate described? Why is there a lower present value of goods to be delivered in future? What are their respective interest rates? Illustrate the adjustments which you think will ensue.

  True or false question-import tariffs

Say if the following statement is true or false and why-Exports depend only on the demand of foreign countries for our products and therefore our exporting

  Explain changes in productivity due to expansion

Explain carefully in terms of production theory why it might be that no amount of "cracking down" can increase worker productivity at CF&D.

  Behavior of average product and marginal product

Describe the law of diminishing returns. Then discuss why you agree or disagree with following statements.

  Determination of production function

You have been hired as a plant manager for a firm that produces widgets (Q) in Angola, Indiana. Widget production requires machine time (K) and labor time (L).

  Evaluation of profitable investment

If you can borrow (and lend) money at an interest rate of 8 percent, will the investment be a profitable undertaking? Is the project profitable at an interest rate of 12 per cent? Provide numerical calculations in support of your answers.

  Effect of expansionary fiscal policy

Describe what effect an expansionary fiscal policy would've on the price level and real GDP starting from full employment equilibrium.

  Efficient allocation of resources in competitive market

Explain why competitive markets normally lead profit maximizing firms to make choices about resource use that lead to an "efficient" allocation of resources to the market?

  Market clearing price and quantity

Obtain the market clearing price and quantity. Under the assumption of profit and maximization , how much output should the representative firm produce?

  Items of calculation of gnp

Which of the following items are included in the calculation of GNP in the UK, and which are excluded?

Free Assignment Quote

Assured A++ Grade

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!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd