Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
Two flatmates Matt and Ryan are deciding how to best furnish their house. Furniture costs $100 per unit and can be considered both non-excludable and non-rival once purchased. They have the following demand curves: Matt: P=180-15Q Ryan: P=120-10Q
a) Suppose that Matt and Ryan cannot come to an agreement to share the cost of the furniture. What will be the deadweight loss associated with competitive market outcome? Calculate the surplus for Ryan in the competitive market outcome.
b) Use the Samuelson condition to determine the efficient provision of this public good. What is the socially optimal price and quantity? Knowing that Ryan is going to free ride of his provision for furniture Matt decides it would be better to just move in elsewhere. So, Liam decides to move in with Ryan instead. Liam has exactly the same individual demand curve as Ryan.
c) Suppose that Liam and Ryan cannot come to an agreement to share the cost of the furniture. Calculate the surplus for Ryan in the competitive market outcome.
d) How has Ryan's surplus changed relative to the previous part of the question? What is the reason for this change? Explain your answer.
Suppose that Jean Splicer, an investor, buys $300,000 of shares of stock in a diversified bundle of Bio-tech firms and exactly one year later sells those shares for $315,000. What was the inflation in the prices faced by consumers?
Does your introduction set the context for the paper? Do you have a clear thesis which states your main point about the subject of this paper? Does your thesis reflect careful thought about the paper's subject?
Calculate the present worth of a 4.5%, $5000 bond with interest paid semiannually. The bond matures in 10 years, and the investor wants to make 8% per year.
Sometimes market activities have unintended positive or negative effects outside the market scope called externalities. As a rule maker concerned with correcting effects of gases
Construct the Coutrnot profit function. Differentiate this function and solve for the reaction functions of firm one and firm two.
How can a fair test of Rostow's stages model be formulated? Analyze the history of a specific economy to see if such a test can be made.
In 1998, Mark McGwire hit 70 home runs while playing for the St. Louis Cardinals. In 1999, McGwire hit 65 home runs. This decrease in marginal(home runs per season) product led to an associated decreas
choose two companies in the same industry - one with a cost leadership strategy and one with a differentiation
Why don't monopolists try to establish "the highest price possible," as many people allege? What would happen to sales? To profits?
Draw the Production Possibilities Curve and determine the opportunity costs for a move from A to B; B to C; and C to D.
Briefly describe a policy that a developing country can implement for itself (without the help from another country) that would help future growth.
production function fx1 x2 x1x2. the prices for the inputs are 2 and 8 respectively.a. if x2 is fixed at x210 derive
Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd