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Suppose that you are hired as a consultant to a firm producing a therapeutic drug protected by a patent that gives a firm a monopoly in two markets. The demand schedule in the first market is P1 = 200 - 2Q1, where P1 is the price of the product and Q1 is the amount sold in the market. In the second market, the demand is P2 = 140 - Q2, where P2 is the price and Q2 the quantity. The firm's marginal cost is 20.(1) If the firm can charge different prices in different markets, what price should it charge in each market? (2) If the firm must charge the same price in the two markets, what price should it charge?(3) Now suppose the firm's overall marginal cost is MC = 20+Q1 +Q2. If the firm cannot price-discriminate (the same price in the two markets), what price should it charge?
Compute the mean and standard deviation of the damage in any year and determine the expected value of X, E(X), and expected value of Y, E(Y).
acme health has three plans it offers to mid-size employers.this basic one costs 4000 for the employee this year plus
critically analyze the present system of providing medical care in the u. s. are there any distortions in incentives in
The government decides to tax cookbooks because they feel that they encourage overeating and can lead to health issues, like obesity and heart disease. Answer the following: in 600-800 words
LG Electronics plans to invest 30 trillion won by 2010 to make this happen, hoping that the cost savings and reduction in risks associated with vertical integration justify the investment.
the government decides to tax cookbooks because they feel that they encourage overeating and can lead to health issues
Long run average costs rise as output increases if and only if the production function is homogeneous of degree p?(0,1). True or false? Explain your answer.
Explain which intellectual property appears the most difficult for a business owner to protect. Provide support for your answer.
question cash flow budgetingusing the following information complete the cash flow budget for the months of january
Among the 4 principal market structure models, monopoly and oligopoly offer best opportunities for the firm to earn economic profits in the long run. What are some strategies for firm which is earning economic profits to legally sustain them over ..
What would happen to each of the following economic varibles if the government increased the money supply by 20% per year: M1, interest rates, inflation and wages What impact does increasing or decreasing the printing of money have on the economy ..
1. use the information in the table below to answer the following questions.nbspqavcatcmcmr1p1mr2p20
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