Is the demand curve elastic-inelastic-unit elasticity

Assignment Help Other Subject

Reference no: EM13333726

Consider a monopolist, who faces the demand function Q(p)=1-p. The monopolists cost function is C(Q)= 1/128 + Q^2/2.

a) Is the demand curve elastic/inelastic/ unit elasticity?

b) Can p=1/4 be the monopolists optimal price. Explain the intuition behind your answer without solving the monopolists problem explicitly.

c) Find the marginal revenue and the marginal cost functions and show the graphically.

d)Find the monopolists price output, profit and the price-cost margin.

e) What are the consumer surplus, producer surplus and social welfare in the market

f) If the monopolists costs are given by C(Q)= F+Q/2, then what is the maximum value of the fixed costs F that keeps the monopolist in the market in the long run?

Reference no: EM13333726

Questions Cloud

Administrative powers of the internal revenue service : Summarize the administrative powers of the Internal Revenue Service (IRS), including the examination of tax records, the assessment and demand process, and collection procedures.

Solar system summary : For Mercury, Venus and Mars, Basic Properties-Mass, Diameter,Density,Rotation period. Describe any peculiarities associated with the object (example – Earth has life). These should be something for which the object ought to be known.

Determine the nonseparately computed income or loss : The profit and loss statement of Strategy, Inc., an S corporation, shows net profits of $101,000 (book income). The corporation has three equal shareholders. From supplemental data, you obtain the following information about some items that are inclu..

Explain the employee performance evaluation process : Explain the employee performance evaluation process, including its purpose, who should conduct the evaluation, and methods used. What methods of performance evaluation have you personally been exposed to? What recommendations for improvement do you h..

Is the demand curve elastic-inelastic-unit elasticity : Consider a monopolist, who faces the demand function Q(p)=1-p. The monopolists cost function is C(Q)= 1/128 + Q^2/2.

Define ethical or unethical nature of your business research : You will define the ethical or unethical nature of your Business Research. You will use the evaluation to evaluate your Business research Project

Relationship between vocal music and instrumental music : Describe how the relationship between vocal music and instrumental music changed during the Baroque period. What technological developments in music and musical instruments led to these changes?

What is the connection of melancholy and creativity : what is the connection of melancholy and creativity? what is the extended deffinition of these two words and how are they related to one another?

Maximum revenue to be generated for this configuration : Suppose product A sells for $125/unit, product B sells for $175/unit, and product C sells for $100/unit. And suppose that all products have a guaranteed buyer (i.e., no matter how many are produced it will be sold for the asking price), and that you ..

User Account

All Pages