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(1) A price discriminating monopolist produces two products that exhibit the following price elasticities of demand: E1= - 2.2 and E2= -3.0. For good one (G1) he will charge a price of P1=$12. What should he charge for good 2?
(2) The following payoff matric displays the profit and losses for company 1 and 2 given its own action and those of it's opponent. Each company can either pursue strategy A, B, or C. Does anybody can have a dominant strategy? Explain.
Describe why some firms might suffer diseconomies of scale. Do you know any examples? Could GM be an example of diseconomies of scale?
The questions asked that suppose that, because of important technological improvements, the society in question can double its production of tractors at each level of food production.
Graph and describe what effects would be short run production function if a new advanced process was found and how would the number of employees hired change?
Comparative statics examine in economics is best illustrated as comparison of equilibrium points before and after changes in market have occurred.
The president of your corporation, Mr. daily, has asked you to make a report describing the many forms of market structure. He describe to you that the report will be handed out to staff prior to the staff meeting next week
Compare the path of economic growth using GDP, GDP growth, and GDP per capita. Compare the evolution of Agriculture and Manufacture as components of GDP.
Compute the Average cost, Marginal cost, Average Variable Cost and the output level at which Average Variable Cost is at a minimum.
Demand and supply functions of tomato are listed below, The maximum value of tomatoes that manufacturer will offer for sale if the price of tomatoes is $ 0.30
Assume that you get a summer intern job and a recession start while you are there. Prepare a memo to your boss, who is a member of Congress,
Describe why a change in a firm's total fixed cost of production will shift its average total cost curve, but not its marginal cost curve.
Find out the firm's optimal quantity, price, and profit (1) by using the profit and the marginal profit equations and (2) by setting MR equal to MC. Also provide a graph of MR and MC.
Do workers of monopolies get paid more compared to employees who do the similar work in other industries that are not monopolies?
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