User Account

All Pages

Find the nash equilibrium price

Assignment Help Microeconomics
Reference no: EM132795588

Suppose that demand for noise-cancelling headphones is given by ?? = 240 - ??. There are only two firms that produce this coveted product, they both have cost function ????(????) = 80 + ???? 2 , where ?? = 1,2 denotes the identity of each firm, respectively. Total production of noise-cancelling headphones is equal to the output of the two firms.

a. Suppose the two firms compete on quantities. Find the Nash equilibrium price and the output of each firm. How much profit does each firm make?

b. Rewrite the cost function of one of the firms such that best responses of the two firms are no longer symmetric. Explain how this will affect their relative output levels

Reference no: EM132795588

Questions Cloud

Definition of non-satiation and strict monotonicity : What is the definition of non-satiation and strict monotonicity? Give an example of preference that satisfies non-satiation but does not satisfy strict monotoni
Calculate accumulated depreciation over four years : Calculate accumulated depreciation over 4 years. The five-year expense percentages for years 1, 2, 3, and 4 are 20.00%, 32.00%, 19.20%, and 11.52% respectively.
How much is the net investment income of thief : During 2021, Ashley reported net income of 500,000 and it also did not pay cash dividends during that year. How much is the net investment income of THIEF
Was there one specific playwright that you identified with : Was there one specific playwright that you identified with, whose themes, stories or attitudes stood out and spoke to you personally? Was there one thing.
Find the nash equilibrium price : Suppose the two firms compete on quantities. Find the Nash equilibrium price and the output of each firm. How much profit does each firm make?
Compute for the amount of cash paid to the borrower on dec : Compute for the carrying amount of the loan receivable on December 31, 2022. On December 31 ,2022, the bank determined that the borrower.
Gaussian mixture model : Derive an EM algorithm for calculating the maximum likelihood estimate of the parameters of the isotropic Gaussian mixture model, where the ith component
What is the labor efficiency variance : An auto company reports these cost data: Actual Results Total labor cost: $1,140,000. What is the labor efficiency variance
What happened after alexander the great death : What happened after Alexander the Great's death? Explain the three types of gov't. that developed after his death. Each answer should be doubled-spaced.

Reviews

Write a Review

Microeconomics Questions & Answers

  The free rider problem

Question: Explain why the free rider problem makes it difficult for perfectly competitive markets to provide the Pareto efficient level of a public good.

  Failure of the super committee is good thing for economy

Some commentators have argued that the failure of the “Super committee” is good thing for the economy?  Do you agree?

  Case study analysis about optimum resource allocation

Case study analysis about optimum resource allocation: -  Why might you suspect (even without evidence) that the economy might not be able to produce all the schools and clinics the Ministers want? What constraints are there on an economy's productio..

  Fixed cost and vairiable cost

Questions:  :   Which of the following are likely to be fixed costs and which variable costs for a chocolate factory over the course of a month?  Explain your choice.

  Problem - total cost, average cost, marginal cost

Problem - Total Cost, Average Cost, Marginal Cost: -  Complete the following table of costs for a firm.  (Note: enter the figures in the  MC   column  between  outputs of  0 and 1, 1 and 2, 2 and 3, etc.)

  Oligopoly and demand curve problem

Problem based on Oligopoly and demand curve,  Draw and explain the demand curve facing each firm, and given this demand curve, does this mean that firms in the jeans industry do or do not compete against one another?

  Impact of external costs on resource allocation

Explain the impact of external costs and external benefits on resource allocation;  Why are public goods not produced in sufficient quantities by private markets?  Which of the following are examples of public goods (or services)? Delete the incorrec..

  Shifts in demand and movements along the demand curve

Describe the differences between shifts in demand and movements along the demand curve. What are the main factors which can shift the demand curve? Explain why they cause the demand curve to shift. Use examples and draw graphs to support your discuss..

  Article review question

Article Review Question: Read the following excerpts from the article "Fruit, veg costs surge' by Todd, Dagwell, published in the Herald on January 25th 2011 and answer questions below:

  Long-term growth, international trade & globalization

Long-term Growth, International Trade & Globalization:- This question deals with concepts such as long-term growth, international trade and globalization. Questions related to trade deficit, trade surplus, gains from trade, an international trade sce..

  European monetary union (emu) in crisis

"Does the economic bailout of Spain and Greece spell the beginning of the end for the European Monetary Union (EMU)?"

  Development game “settlers of catan”

Read the rules of the game, the overview and the almanac for the Development Game "Settlers of Catan"

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