User Account

All Pages

Determine the optimal quantity to produce

Assignment Help Macroeconomics
Reference no: EM131111146

You are the manager of a business in a monopoly market with the following inverse demand function

In addition, assume your production technology is described by the total cost function

C(q) = 500 + 10q

  1. Determine the optimal quantity to produce (qM), the price you should charge for your product (pM), and compute the profit of your business.
  2. Provide an intuitive explanation of market power. What is market power? How do we measure the market power of a business? Compute the market power of your business.

Reference no: EM131111146

Questions Cloud

The least squares prediction equation : SAS was used to fit the model E(y)  data points and the printout shown on page 573 was obtained
A large number of banks and insurance companies : A company called CRW runs credit checks for a large number of banks and insurance companies. Credit history information is typed into computer files by trained administrative assistants.
Elasticity of demand as the prices falls : The equation for a demand curve is P=2/Q. What is the elasticity of demand as price falls from 5 to 4? What is the elasticity of demand as the prices falls from 9 to 8? Would you expect the answers to be the same? Why/why not?
About the performance of its graphite shafts : Over the last year, a company that manufactures golf clubs has received numerous complaints about the performance of its graphite shafts and has lost several market share percentage points.
Determine the optimal quantity to produce : Determine the optimal quantity to produce (qM), the price you should charge for your product (pM), and compute the profit of your business.
Construct an r-chart from these data : Officials at Mountain Airlines are interested in monitoring the length of time customers must wait in line to check in at their airport counter in Reno, Nevada. In order to develop a control chart. five customers were sampled each day for 20 days..
Brief summary of your learning team collaborative discussion : Create a 2-3 pages document based on your Week Two Learning Team collaborative discussion. A table listing the common link state and distance vector routing protocols; be sure to identify the following for each protocol:Link state or distance vector,..
Describe how scorekeeping works in video games : Describe how scorekeeping works in video games and how this is similar to scorekeeping.
Operating efficiency of the package-sorting departments : Air Express, an overnight mail service, is concerned about the operating efficiency of the package-sorting departments at its Toledo, Ohio, terminal.

Reviews

Write a Review

Macroeconomics Questions & Answers

  Inflation targeting be a good policy

Why might it be difficult for the Fed to formally adopt inflation targeting?  Would inflation targeting be a good policy for the Fed in the present economic environment

  In using the taylor rule

In using the Taylor Rule as a guideline for monetary policy, what are the pros and cons of using forecasted values of inflation and output rather than observed values of these variables?

  Describe the present economic crisis situation in europe

Describe the present economic crisis situation in Europe.  Why has it been so difficult for the Europeans to find a solution to this problem?   Comment on what implications the crisis may have for the rest of the world if Europeans are not able to ag..

  Long-term federal government budget problems

Question:. Explain why there are long-term Federal government budget problems. Explain why the base-line forecast of the CBO is misleading.

  Derive and compare demand curve

Question based on Derive and compare demand curve,  Derive Ambrose's demand function for peanuts. How does it compare with Johnny's demand curve for peanuts?

  Problem based on utility function

Problem based on  Utility Function - Problem,  Answer and explain the following using a diagram which is completely labeled.

  Laffer curve : tax rate and tax revenue

Question based on Laffer Curve : Tax Rate and Tax Revenue,  Do raising tax rates necessarily raise tax revenue? What factors affect how tax revenue changes when tax rates change?

  Problem - income elasticity of demand

Problem - Income Elasticity of Demand,  Interpret the following Income Elasticities of Demand (YED) values for the following and state if the good is normal or inferior; YED= +0.5 and YED= -2.5

  Positive balance of payment

Question Positive Balance of Payment: "Things will look good for the US if we could just get to where we are consistently running a positive Balance of Payments."

  Effect of recession on the investment curve

Comment on the effect of a recession on the investment curve (only) and on the level of savings, investment, and the equilibrium real interest rate in the financial crisis that hits United States first starting in fall 2007.

  Affect of falling domestic investment on trade surplus and

How will a fall in domestic investment affect the trade surplus and net capital outflows in the domestic economy, the trade deficit and capital inflows in the rest of the world.

  Crises in the banking sector and bank run

Banking crises crisis decreases depositors' confidence in the banking system. What would be the effect of a rumor about a banking crisis on checkable deposits in such a country?

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!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

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