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A monopoly has demand given through P=20,000-25Q, and costs given through C(Q)=100Q+25Q2. Determine the profit maximizing level of price and output. A regulator wants to set P=MC. Is this feasible? Discuss an alternative regulatory regime, and discuss the merits of both.
Suppose that firms in the short-run are earning above-normal profits. Describe what will take place to these profits in long-run for the following markets:
Suppose that the economy is already in recession, and both President and Congress have declared to do something to restore the economy.
The government decides to tax cookbooks because they feel that they encourage overeating and can lead to health issues, like obesity and heart disease. Answer the following: in 600-800 words
The consequences of decriminalizing illegal drugs have long been debated. Some claim that legalization will lower the price of these drugs and reduce related crime. Others claim that more people will use these drugs.
you must identify a franchise that is relatively new (less than 10 years old and fewer than 25 locations in Canada). You must then evaluate the attractiveness of the franchise for an identified location. The evaluation should include: Presentation ..
What are the profit-maximizing price and quantity? What will be the profits at these price and output levels?
Calculate the net present value and benefit-cost ratio for four different discount rates
Assume that the Federal Reserve sells government securities from its existing holdings to financial sector and non bank public. Trace by the expected consequences of this secondary market action on banking system
There is the firm that has pricing control of its output and is capable to identify its consumers in two groups. The total quantity demanded for its output is the summation of quantity demanded by the two groups,
Differentiate between the resource market and producer market in a circular flow model. Determine the way that businesses and households both sellers and buyers in this model also find the flows in the circular flow model?
Employ the following equation to demonstrate why the firm producing at the output level where MR=MC will also be able to maximize its total profit
Determine your optimal pricing strategy if you and your rival believe that the new Jeep is a "special edition" that will be sold only for one year. Would your answer differ if you and your rival were required to resubmit price quotes year after ye..
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