Elucidate what is the market price that would prevailed

Assignment Help Business Economics

Reference no: EM1363407

The city of Obscure currently has one McDonald's fast-food franchise, Big Mac. Demand for hamburgers in Obscure is given by Q = 400 - 10P. All McDonald's franchises have identical costs of C = 60 + 3Q for producing Q hamburgers. If a second McDonald's franchise, Mac Junior, was to move into Obscure City:

And my questions are:

1.What is the market price that would prevail at equilibrium in a Cournot oligopoly.

2.What is the the quantity that Big Mac would supply at equilibrium in a Cournot oligopoly

3.What is the the quantity that Mac Junior would supply at equilibrium in a Cournot oligopoly.

4.What is the profit that Big Mac would earn at equilibrium in a Cournot oligopoly.

5.What is the profit that Mac Junior would earn at equilibrium in a Cournot oligopoly.

Reference no: EM1363407

Questions Cloud

Explain why do you admire the company you chose : Explain Why do you admire the company you chose as a favorite and Why do you not respect the company you chose as not admirable?

Show projact manager - procurement management : Prepare a project plan that covers all project groups and knowledge areas - apply the nine project management knowledge areas.

Communicating patient-specific information : Include an assessment of how the Internet, or any other form of electronic communication, may be used as an external delivery source in communicating patient-specific information.

Describing valuation issues : You believe that the market has changed so much that valuation of the underlying asset cannot be based on past performance. What rules and regulations would guide the actions that you would take? What actions would you take, and why?

Elucidate what is the market price that would prevailed : If a second McDonald's franchise, Mac Junior, was to move into Obscure City. Elucidate what is the market price that would prevail at equilibrium in a Cournot oligopoly.

Design virtual memory system for new operating system : You are asked to design the virtual memory system for a new operating system working on small mobile devices. The memory operates at 333 MHz with a word size of 4 bytes.

Find out the minimum acceleration of the antelope : Find out the minimum acceleration of the antelope.

Case study-selecting patient escorts : Case Study-Selecting Patient Escorts and Critique each of the alternative approaches suggested for solving the problem of selecting patient escorts.

Health care often experiences professional shortages : Health care often experiences professional shortages (nurses), high turnover, high rates of job burnout/job stress, and turnover intention given the high stress, high demand nature of the business.

User Account

All Pages