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Firm A is a monopoly for a product B. The firm sells in two countries, and resale between the countries is impossible. The demand curves in two countries are P1 = 100 - Q1, and P2 = 120 -2Q2. The monopoly's cost function is C(Q) = 10 + 30Q. Solve for the equilibrium price in each country.
You find that the car requires repairs of 1,200 dollars in order to get it to run. Once it is repaired, it will definitely not break down again. Assuming that the car is worth 3,500 dollars after repairs, should you get it fixed.
It costs $30,000 to retrofit gasoline pumps at your filling station so the pumps can dispense E85 (85% ethanol and 15% gasoline). If your station makes a profit of S0.08 per gallon from selling E85 and sells an average of 20,000 gallons of E85 per mo..
At this price, find the price elasticity of demand. USE THE POINT SLOPE METHOD to find this elasticity.
Give two reasons why Marginal Revenue curve of a pure monopoly is downward slopping?
Between February 2008 and Summer 2009 the Fed supplemented its open market operations with a greatly expanded program of direct lending (both overnight and short term 28 and 84 day loans) to commercial banks, investment banks, brokerage and primary d..
The Teenager Company makes and sells skateboards at an average price of $70 each. During the past year, they sold 4,000 of these skateboards. The company believes that the price elasticity for this product is about -2.5. Which of the following would ..
A U.S. manufacturing company operating a subsidiary in an LDC (less-developed country) shows the following results: U.S. LDC Sales (units) 100,505 19,600 Labor (hours) 19,550 14,550 Raw materials (currency) $20,500 FC 19,550 Capital equipment (hours)..
a. How many of these new cardholders would you expect to default? What is the stan- dard deviation?
Draw Angel's budget line constrain, assuming champagne costs $6 per unit. Will Angela ever work exactly 40 hours per week? Please explain why or why not?
Suppose a liquidity trap exists and output is below its natural level. Graphically illustrate and explain if the economy can return to its natural level using the AS-AD model. Will the economy be able to adjust and “fix itself”in this circumstance? I..
Explain how the Whig party collapsed in the 1850s over the competition with "Slave Power." How did the party's collapse transform American politics, via the Republican party and the elections of 1856 and 1860? Make sure to cite any direct quotes.
Lisa administers both group-administrated and an individually-administered measures of self-confidence and examines the relationship between them
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