Solve for the competitive equilibrium price and quantity

Reference no: EM13191223

Suppose a monopolist faces the following demand curve, variable cost function, and
Suppose a monopolist faces the following demand curve:
fixed costs:QD =10-1/2p VC=8Q+Q^2 F=8
a. Find the monopolist's revenue, marginal revenue, and marginal cost functions(they all should be functions of Q only)
b. Solve for the profit maximizing price and quantity for the monopolist.
c. Solve for the competitive equilibrium price and quantity.
d. Calculate the amount of deadweight loss created by the monopolist.

e. How much of would-be consumer's surplus is the monopolist able to grab because of their market power?

f. Draw a graph of this scenario as you can. Be sure to label all curves, axis intercepts,the market prices and quantities under both market structures as well as label the areas discussed in d and e

g. Explain what dead weight loss is.

Reference no: EM13191223

Questions Cloud

State and make a reversible isobaric expansion to state : make a reversible isobaric expansion to state B: (V=44.8L). make a reversible isochoric expansion to C: (p=0.5atm), and finally makes a reversible isothermal compression back to A.

State what is an operater for which the wavefunction : Explain what does it mean that a system is in its ground state. What is an operatr for which the wavefunction of such system is the eigenfunction?

What are the patents and the incentive to invent : Marginal Revenue of a Monopolist a. Prove mathematically that marginal revenue is always less than price, P(Q). b. Explain this intuitively as well.You may use a graph to help you. Remember marginal revenue is the money the firm takes in after sell..

State what is the ultraviolet catastrophe : What is the ultraviolet catastrophe? Explain why it was predicted and why this prediction

Solve for the competitive equilibrium price and quantity : Suppose a monopolist faces the following demand curve, variable cost function, and Suppose a monopolist faces the following demand curve: fixed costs:QD =10-1/2p VC=8Q+Q^2 F=8 a. Find the monopolist's revenue, marginal revenue, and marginal cost func..

State what ph condition would improve compounds solubility : What pH condition (either more soluble in acidic solution OR pH = 1 or more soluble in basic solution of pH= 13) would improve the following compounds solubility in water:

How does the method of payment affect the consumption level : Most systems of medical insurance substantially lower the out-of-pocket costs consumers have to pay for additional units of physician services and hospitalization. Some reduce these costs to zero.

Compute the ph of the solution volumes of hcl : Calculate the pH of the solution after the following volumes of HCl have been added. (For each part remember t ask yourslef these questions. What units am I working in?

How much money will be in each account 6 years : Jim deposits $3,000 in a savings account that pays 6% interest compounded monthly. Three years later he deposits $4,000. Two years after the 4,000 deposit, he makes a final deposit of $6,000. Four years after the $6,000 deposit.

User Account

All Pages