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- Presently, APlus Transport and Big Movers are the only suppliers of services that haul heavy construction equipment between jobs within the Midwest. No other suppliers have the equipment necessary to perform the service. The market inverse demand for these hauling services is given below. P-4,030-40 where P is price per trip and Q is total number of trips per year. For simplicity, also assume that neither firm has fixed costs. From company records, you are given the following variable cost function for each firm: TVC,=300, TVC, - 800 a. Assume these two competitors operate as a two-firm Cournot duopoly. Find the reaction functions for each firm. b. Calculate the Cournot market equilibrium price-output solutions for each firm including their respective profits. c. Suppose Big Movers shuts down operations so that APlus now has a monopoly in this market. What is the price, quantity, and profits for APlus after this change? d. Summarize the results of your findings over the two possible…You are a brand analyst working for a large multinational retail organisation in South Africa. Theorganisation specialises in premium products. You have been provided with the followingstatement: “According to the World Bank, South Africa remains a dual economy with one of thehighest inequality rates in the world, with a Gini Coefficient of 0.643.”The Board of Directors convened a special meeting to discuss the implications of the quote above.You are required to produce a brief on the statement above, specifically referring to theimplications it holds for the brand.You were able to locate the following graph denoting the Lorenz curve from which the Ginicoefficient was derived: Asnwer the following: • A good, understandable definition of the Gini Coefficient. Indicate the significance of theSouth African Gini coefficient in relation to Gini coefficient ranges associated with equaland unequal income distributions;You are a brand analyst working for a large multinational retail organisation in South Africa. Theorganisation specialises in premium products. You have been provided with the followingstatement: “According to the World Bank, South Africa remains a dual economy with one of thehighest inequality rates in the world, with a Gini Coefficient of 0.643.”The Board of Directors convened a special meeting to discuss the implications of the quote above.You are required to produce a brief on the statement above, specifically referring to theimplications it holds for the brand.You were able to locate the following graph denoting the Lorenz curve from which the Ginicoefficient was derived: Answer the following question: A discussion relating to the attributes that make the Gini coefficient a desirable means ofmeasurement.
- You are a brand analyst working for a large multinational retail organisation in South Africa. Theorganisation specialises in premium products. You have been provided with the followingstatement: “According to the World Bank, South Africa remains a dual economy with one of thehighest inequality rates in the world, with a Gini Coefficient of 0.643.”The Board of Directors convened a special meeting to discuss the implications of the quote above.You are required to produce a brief on the statement above, specifically referring to theimplications it holds for the brand.You were able to locate the following graph denoting the Lorenz curve from which the Ginicoefficient was derived: Answer the following question: Explain how the Gini coefficient is derived from the Lorenz curve by making use of thegraph provided;Two competing companies, A and B face the same unit cost of a product that is fixed and equal to 15 monetary units. The demand function for company A's product is Pa=65-2.5Qa and for B's product is Pb=60-2Qb.Calculate the Lerner index at the equilibrium position of each company. Comparing the index you found for company A with the index you found for company B what is found? If there is a difference between them, explain why it is due.You are a brand analyst working for a large multinational retail organisation in South Africa. The organisation specialises in premium products. You have been provided with the followingstatement: “According to the World Bank, South Africa remains a dual economy with one of the highest inequality rates in the world, with a Gini Coefficient of 0.643.” The Board of Directors convened a special meeting to discuss the implications of the quote above.You are required to produce a brief on the statement above, specifically referring to the implications it holds for the brand.You were able to locate the following graph denoting the Lorenz curve from which the Gini coefficient was derived: Asnwer the following Question: Explain the implications of a Gini Coefficient of 0.643 relating to the South Africaneconomy, retail sector and brand of the organisation. Derive practical examples from theLorenz curve to substantiate your explanation
- Using the same stream of benefits and costs, use a discount rate of 3% to determine if this action is welfare enhancing.Question 5 (a) Find the indefinite integral for the following marginal revenue functions with respect to output (Q): (0) MR = f(Q) = Q³-50² + √0 00 MR = f(Q) = (0+1)* Q-1 -Hint: You use the result SdQ=log, (Q-1) + C (b) Use the substitution of variable method fully to evaluate [*Q(Q² + 1)³dQQuestion #4. Parker County is considering reestablishing bobcats in a number of local parks. The cats are known predators of small pets and livestock, but also an important predator for controlling certain rodent and small mammal populations. The New York State Department of Environmental Conservation (DEC) has conducted both a statewide and county level contingent valuation survey. They found that the local (county level) marginal willingness to pay represented by the equation: MWTP= -.4Q+130. The DEC found the statewide marginal willingness to pay represented by the equation: MWTP= -0.9Q+400. Further, the DEC has estimated an aggregate marginal cost of establishing and maintain the bobcats to be MC= 0.5Q+30. What would be the efficient population of bobcats if only the local willingness to pay was considered? What would be the net benefits to local people if this population was maintained? What would be the efficient population of bobcats if only the statewide willingness…
- Q10 Assume a firm in the cannabis sector called Aphria is hiring factors of production l and m under perfectly competitive conditions to produce marijuana (product Y), which sells for $2 in a perfectly competitive market. The prices of l and m are $10 and $4, respectively. In equilibrium, the MPs of l and m, respectively, are Multiple Choice not possible to determine with the information given. 2 and 5. 1 and 1. 5 and 2. 10 and 4.Author who define descriptive element and analytical element of industrial economicsDetermine whether the matix is exchange matrices. If it is exchange matrix, find a nonnegative price vector that satisfies Equation
