The price elasticity of demand for a monopolist product is-0.7. Advise the firm on its pricing strategy

Q: Question 33, 41 Listen Should the company invest in the training program if allows them to expand in...

A: Answer= "Thank you for submitting the questions. But, we are authorized to solve one question at a t...

Q: Quantity Marginal Utility Total Price Demanded Utility $14 1 $12 2 $10 $8 $6 2 m4 5

A: The term Utility means the maximum amount of satisfaction a consumer of the goods derives out of it....

Q: Output is homogenous and the demand curve P = 448 - Q. There are two firms with identica %3D costs g...

A: As it is given to us that     P=448-Q C=Qi^2 MC=2Qi

Q: Problem No 2 A loan of P200,000 was to be paid monthly for 1 year at an interest rate of 18 % compou...

A: Dear learner you have posted question with multiple sub parts, we have solved only first part here, ...

Q: An investment of $100,000 in safe 10-year corporate bonds yields an average of 9% per year, payable ...

A: First Of all we will calculate nominal interest rate after tax:-

Q: Two firms compete as a Stackelberg duopoly. The demand they face is P = 402 - Q. The cost function f...

A: b P=402-QP=402-(Q1+Q2)   =402-Q1-Q2C1=2Q1MC1=2TR1=(402-Q1-Q2)Q1    =402Q1-Q12-Q1Q2MR1=402-2Q1-Q2Now,...

Q: Suppose that the most popular car dealer in your area sells 12.50 percent of all vehicles. Instructi...

A: In a market, Herfindahl-Hirschman Index (HHI) is used as the measurement of market concentration to ...

Q: Cash flows related to three mutually exclusive capital equipment projects are given in table below. ...

A: First Compute the net income in alternative A, using the equatioñ as shown below:-   Net income = In...

Q: A developing country does not have enough taxes to cover its expenditures and is unable to borrow. T...

A: The economies around the globe are involved in the use of the limited amount of resources in the mos...

Q: Who favors Milton Friedman’s theories currently and how are they applied?

A: Answer-

Q: Suppose AE = 0.50 Y + 500. If GDP = $1,000, and There will be excess supply, so inventory will accum...

A: AE is Aggregate Expenditure.  If AE > GDP, then it means there is excess demand in the economy. I...

Q: A man bought a machine for $ 535705 six years ago. It has a salvage value of $ 36957 four years from...

A: We have,

Q: An individual has preferences over contingent consumption in two states of nature {a, b}, given by u...

A: Optimal consumption point for a consumer optimizing its utility over consumption is two states achie...

Q: Cartels have a difficult time maintaining their output agreements because an individual firm has an ...

A: Oligopoly: It is a market where there will be only some sellers and a large number of buyers availab...

Q: Which of the following might place downward pressure on stock prices? Check all that apply. The unem...

A: In the stock market, the price of stocks are influenced by demand and supply of stocks as the market...

Q: What is Cost-push inflation? Mark all of the following that are true of Cost-Push inflation 4 correc...

A: Cost Push Inflation is referred to as increase in the aggregate prices with the increase in cost of ...

Q: Production, Costs, and Perfect Competition: Firm in the Short Period a. data (1) K = 7 and the price...

A: We have given that the firm is in short-run and capital is fixed at k=7, the Q Output Labor L 0...

Q: Suppose that • y =100 (income today) y' = 150 (income tomorrow) • r = 10% (interest rate on bonds) •...

A: Answer -

Q: A brewery produces regular beer and a lower-carbohydrate "light" beer. Steady customers of the brewe...

A: Answer -  

Q: B/ Consider the Open Economy with Government Participation (i.e. the Mixed Economy): Planned Expendi...

A: Dear student, you have asked multiple sub-part questions in a single post.In such a case, I will be ...

Q: 3. Your income in Year 1 is R50 000, in Year 2 it is R100 000, in Year 3 it is R120 000, in Year 4 i...

A: The economist Milton Friedman is credited with the permanent income hypothesis, which is used to exp...

Q: Question 1 The following information reveals the market condition of cola: Qd = 1,000 – 200P, where ...

A: Qd = 1000 - 200PQs = 100 +400P For calculating the equilibrium price and quantity of cola , we will ...

Q: In 2025, how many of the 10 largest cities will be located in developed countries? a. 9 b. 10 c. 5 ...

A: In this world map we find the demographic data of ten countries:-Tokyo city of the country Japan wit...

Q: 2. Given: Q 100K".“L08; w = 50; r = 80; Qo = 2,000 w a. Solve for the MRTSK and the market rate of e...

A: Answer is given below... 

Q: Perfect competition is an extremely rare type of market in the real world. This is because the condi...

A: DISCLAIMER  “Since you have asked multiple sub-parts question, we will solve the first three questio...

Q: Explain the effects of the following statements to the equilibrium of supply and demand. Use supply-...

A: The supply and demand factors in the market determine the market's equilibrium. The demand curve is ...

Q: Please see image for question

A: Most, but not all, countries have various currencies. Ecuador, El Salvador, and Panama, for example,...

Q: Firzaowns 3 iced milk coffee bottlesand 9 toasted bread while Razi owns 8 iced milk coffee bottles a...

A: If two people have utility functions for two things as well as endowments for the two goods. The Edg...

Q: Consider whether the promises and threats made toward each other by duopolists and oligopolists are ...

A: Given that to imagine two firms play the game in sequence and each of them claim that if both it and...

Q: The Return of Detroit City: Enpar manufactures engine parts for Ford using steel as an input.  Enpar...

A: Given: QD= 12SD – 0.25 SD2 QG= 59SG – 0.5 SG2

Q: What is the need for integrating both the main branches of economics i.e Micro economics and macro e...

A:

Q: Let's examine the role of taxes in the Solow-Swan model. Imagine that the behavior of an economy may...

A: a) We have a production function, Yt=KtαAtLt1-α Here, the At is a To convert all equations in the pe...

Q: Which of the following is included in GDP calculations?     a crisp $50 bill received on your birt...

A: Gross Domestic Product (GDP) measures the market value of all final goods and services produced by a...

Q: A monopolist charges a single price for its product, sells 100 units, and has a marginal revenue of ...

A: Q = 100 MR = 30 MC = 500 Fixed Cost = 500

Q: QUESTION 8 Suppose that the production function y-f(x_1,x_2) (where: y is output level, x_1 is a var...

A: The question is from the law of variable proportion, in which capital and labor are used as inputs. 

Q: The discount rate when the net present value of a project is zero is called the rate of return margi...

A: The answer is as follow :

Q: Select an answer and submit. For keyboard navigation, use the up/down arrow keys to select an answe ...

A: In a monopolistic competitive market there are large number of firms producing similar but not ident...

Q: Circle the Nash equilibrium. Professor Give quiz No quiz You Go to class (0, 0) (2, 6) Skip class (-...

A: We know that Nash equilibrium is the intersection of the best response for each player. Let player 1...

Q: A house is purchased for P 2,000,000 in 2002. The value of the house is given by the exponential gro...

A: Here, it is given that value of house is following the exponential growth model. So, A=2,000,000e0.6...

Q: What were Milton Friedman economic theory’s general principles and who did he advise? Could you also...

A: Milton Friedman was a Nobel Peace Prize winner and an American economist. He created a number of eco...

Q: Suppose real GDP is at 1,500, which of these will occur? Planned $4,000 Supply 45-degree line aggreg...

A: GDP or Gross Domestic Product is the total market value of all finished goods and services produced ...

Q: Mt. Dew B. Popcern Suppose a consumer has $100 in income, the price of Mt. Dew is $2, and the value ...

A: here we find the price of the popcorn as follow;

Q: true or false The AFC curve approaches zero because of the diminishing marginal cost.

A: Fixed costs refers to those costs undertaken by the firm at the time of setting up of the business, ...

Q: I need a basic explanation of John Maynard Keynes work.

A: At the time of Great Depression of the 1930s all the basic existing economic theory was unable to ex...

Q: Q1. a List down different type of interests and their related formulae. b. Collect one example for e...

A: Q1. a. Type of interests Simple interest: P x R x T100Compound interest: A=P(1 + rn)n Accrued Intere...

Q: Suppose that a small town has seven burger shops whose respective shares of the local hamburger mark...

A: "The four-firm concentration ratio and the Herfindahl index are two measurements of market concentra...

Q: Who are Homo Economicus?

A: Rational choice theory aims to comprehend the economy by considering one person's actions and calcul...

Q: Q2. Suppose a management accountant of a manufacturing company give you the following information: -...

A: Answer: Given, Price (P) (in OMR) Quantity (Q) (units per month) 1000 (P1) 175 (Q1) 1800 (P2)...

Q: and Cheryl are competitors in a small town and each is trying to decide if it is wrtl advertise. If ...

A: Payoff matrix as follows.     Jim       Advertise Not Advertise Cheryl  Advertise (10,000 10,...

Q: Consider the five investment alternatives described below. Which alternatives can be eliminated from...

A: Given that; There are 5 alternatives  MARR = 10% life =5 Years The incremental internal rate of retu...