Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
1.Wheat can only be sold at a central market place M. All producers that do not produce it at M need to haul it there in 11order to sell it and will incur transportation cost. People are willing to pay $222 per ton of wheat; its marginal production cost equals $10 per ton. Freight cost per ton and mile is given by T=2x0.5, where x denotes the distance from M in miles. (a) Calculate the maximum distance to the east of M at which the good will be produced. (b) Do the transportation cost exhibit increasing, decreasing or constant economies to distance?
2. Refer to the one-directional (just to the east) von-Thünen Model and assume that the willingness-to-pay for wheat is $42.50 per bushel. Marginal cost production equals $7.50 per bushel and fixed production cost is $10. a) We find that the marginal wheat fields (i.e., those with the maximum distance from the market place) are located 5 miles from the market place. Assuming constant marginal transportation cost, what is t? b) What is the land rent at x=0
3. Assume the distance between the resource (R ) and the market (M) is 10 miles. A firm’s procurement cost is given by PC=20+9x, where x is the distance from the resource measured in miles. The firm’s distribution cost is given by DC=(10-x)3. Again, x is the distance from the resource. (a) What is the Total Freight Cost at x=10, x=5, x=0. Where should the firm locate? (b) How does your answer to all parts under (a) distribution cost also includes a fixed (i.e., distance-independent) cost of 20?
A protective Tariff is often used by governments to attempt to control trade between nations to protect and encourage their undeveloped local industries, businesses. Using the Mundell-Fleming model, which of the following prediction is accurate under..
What are transnational corporations (TNCs, or multinational corporations, MNCs) and how are they different from other business firms? Why have the MNCs become more important in international political economy during the past three decades?
McKee Corporation has annual fixed costs of $12 million. Its variable cost ratio is 0.60. Determine the company’s break-even dollar sales volume. Determine the dollar sales volume required to earn a target profit of $3 million.
The company you work for recently has committed itself to implementing a program of social responsibility. After the company has gotten the commitment of top executives, planned the program, and appointed a program director, you suggest that a (n) __..
Which industry would be the best example of an oligopoly?
Maximizing Total Revenue and maximizing Total Profit are the same goal when:
As an economist, what good do you think each of your companies have a comparative advantage in. Why. What would an economist say was the cause of the price of your stock rising, falling or staying the same? Be specific regarding the determina..
To pay for these paths, it then taxes Andrew, Beth, and Cathy the prices a+b+c=MC. If the taxes are set so that each resident shares the cost evenly (a=b=c), explain how many paths will get built.
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.
When a firm pursues a predatory pricing strategy, it does so
Suppose a firm faces the demand curve which gives a constant price elasticity of demand of -2. (Lerner Index) If the firm's marginal cost is constant at $2, what is the profit-maximizing price and quantity? If the firm's marginal cost increases to a..
How did Neoclassical economists rationalize a policy of laissez faire with respect to the potential intervention into a market economy by government? Why do modern economists, on the other hand, acknowledge a role for government? Pareto’s definition..
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!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd