Take an monopsony with an inverse demand of P = 20-.5Q equal to marginal revenue and inverse supply of P = 2+.25Q equal to marginal cost. Find the equilibrium price, quantity, all 3 surpluses, and any deadweight loss. Show your work. Request: Please draw a graph as needed and please provide the typed answer (not written) Your help is much appreciated!

Take an monopsony with an inverse demand of P = 20-.5Q equal to marginal revenue and inverse supply of P = 2+.25Q equal to marginal cost. Find the equilibrium price, quantity, all 3 surpluses, and any deadweight loss. Show your work. Request: Please draw a graph as needed and please provide the typed answer (not written) Your help is much appreciated!

Economics For Today

10th Edition

ISBN:9781337613040

Author:Tucker

Publisher:Tucker

Chapter9: Monopoly

Section: Chapter Questions

Problem 8SQ

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PArt 1 Take an monopsony with an inverse demand of P = 20-.5Q equal to marginal revenue and inverse supply of P = 2+.25Q equal to marginal cost. Find the equilibrium price, quantity, all 3 surpluses, and any deadweight loss. Show your work. Part II Using the same equations as question 2, find the same outcomes as before but with a price floor at 8. What does this tell us about monopsony? Explain Request: Provide graph as needed and please provide the answer in typed form. Thank you!
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