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Consider a monopolist with the following demand function: Q = 60 - 0.667P
a. Graph the demand and MR lines. What is the equation of the MR?
b. Calculate the number of units the firm should produce? MC=10+1.3333Q, Identify this quantity on the graph.
c. Calculate the price the firm should charge? Identify this price on graph
d. Using cost table from previous assignment, show average total cost on graph above.
e. Calculate the profit of the firm?
f. If this was a perfectly competitive market, how many units would be produced and at what price?
g. Calculate welfare loss due to being a monopoly. Identify this area on the graph
On a Supply/Demand diagram show the effect on Treasury Bond markets of using these surpluses to buy back outstanding treasury securities and reduce the governments' outstanding debt.
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using the regression results and the other computations from assignment 1 determine the market structure in which the
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A monopolist faces the price equation: P=1,000-0.5Q and total cost: C=50,000 +100Q + .4Q^2. A. Determine the price and output that maximize total revenue, and the level of profit. B. Determine the price and output that maximize profit and the leve..
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Students fascinated with your explanation and eager to learn more, ask about the shape of the demand and supply curve in each industry. Provide a demand and supply graph for each industry to explain. Label equilibrium price and quantity.
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Graph the demand for dollars and supply of dollars against the exchange rate. What is the value of the equilibrium exchange rate?
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