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The single price monopoly faces a demand curve of p=90-Q and a constant marginal (and average) cost of m=$30. Find the profit maximizing quantity (or price) using math. Determine the profit, consumer surplus, welfare, and deadweight loss.
Show how the answer depends on the shape as well as location of the supply as well as demand curves.
Explain how does a firm solve this pricing problem to maximise profits. Explain, using a diagram to support your answer.
Assume the technology for producing personal computers improves, and, at the same time, individuals discover new uses for personal computers so that there is a greater utilization of personal computers. Which if the following will happen to the equil..
q1. assume that the popular car dealer in your area sells 2.50 of the entire vehicles. if all other car dealers sell
q1. suppose you read in the newspaper that all last week the fed conducted open market acquires and also on tuesday of
Industry-land was so named because it is highly industrialized. It is a world leader in production of manufactured goods. If industry-land put all its productive efforts into manufactured goods, it could produce 1,000 units per year. Draw a produc..
Under the first plan he pays $0.25 per minute of connect time. Under the second plan, he pays a lump sum of $30 per month and only $0.10 per minute of connect time. Determine David's optimal consumption bundle and his choice between the two plans.
Explain how does a decrease in foreign price levels affect domestic aggregate expenditures and demand. How is the aggregate supply curve different from the supply curve for a single good, like pizza.
Suppose Mary’s utility function for two goods X and Y is given by: U(X,Y) = 2X1/2Y1/2. Suppose consumption bundle A consists of 10 units of X and 10 units of Y, and consumption bundle B consists of 20 units of X and 5 units of Y. Consumption bundle A..
What kinds of people are most likely to have their utility reduced by such a law. Why do you think that the government requires such insurance.
Write a summary of how the United States and the other country differ. Which of the two countries has better prospects for the future and why? Provide a reasoned opinion.
what changes should they make in government spending or taxes ? what changes should they make if they decide a contractionary fiscal policy is necessary?
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