Homework Answers
1. A firm will maximize profits and revenues at the same price when the marginal cost is negligible or zero. Hence, option(A) is correct.
2. The second-degree price discrimination is the practice of charging different prices per unit for different quantities of the same good that means , the seller offers each individual customer a different price. Hence, option(A) is correct.
Add Answer to:
A firm will maximize profits and revenues at the same price when: the marginal cost is...
To maximize profits in a competitive market set price equal to marginal cost. But in a...
To maximize profits in a competitive market set price equal to marginal cost. But in a monopoly, you set marginal revenue equal to marginal cost. Based on the given information, answer the following questions. Total Revenue = 100Q – 10Q² Marginal Revenue = 100 – 20Q Total Cost = 20 + 10Q Marginal Cost = 10 Note: Competitive Market: To maximize profits set Price = Marginal Cost Monopoly Market: To maximize profits set Marginal Revenue = Marginal Cost What...
19. To maximize profits in a competitive market set price equal to marginal cost. But in...
19. To maximize profits in a competitive market set price equal to marginal cost. But in a monopoly, you set marginal eue equal to marginal cost. Based on the given information, answer the following questions. Total Revenue- 100Q-10Q Marginal Revenue = 100-20Q Total Cost 20+10Q Marginal Cost -10 Note: Competitive Market: To maximize profits set Price Marginal Cost Monopoly Market. To maximize profits set Marginal Revenue Marginal Cost a. What price do you charge if you are in a competitive...
Question 1. A perfectly competitive firm seeking to maximize its profits would want to maximize the...
Question 1. A perfectly competitive firm seeking to maximize its profits would want to maximize the difference between? Select one: a. either a or d. b. its marginal revenue and its marginal cost. c. its total revenue and its total cost. d. its average revenue and its average cost. e. its price and its marginal cost. Question text 2. A profit-maximizing monopolist sets? Select one: a. output where demand equals average total cost. b. output where marginal cost equals average...
To maximize profits, a firm should set its output where its is zero. O marginal cost...
To maximize profits, a firm should set its output where its is zero. O marginal cost O variable cost O marginal profit O marginal revenue
36) When a monopolist sells the same product at different prices and the prices are not related to cost differences, we have B) price differentiation. D) monopoly pricing A) price discrimination...
36) When a monopolist sells the same product at different prices and the prices are not related to cost differences, we have B) price differentiation. D) monopoly pricing A) price discrimination C) marginal cost pricing. 37) 37) Monopolies misallocate resources because A) price does not equal marginal cost B) profits are usually positive. C) marginal cost does not equal average total cost. D) price does not equal average total cost. 38) 38) Which of the following assumptions is true about...
THIRD-DEGREE PRICE DISCRIMINATION A seller faces two groups of buyers: Pi-16- Q1 and P2-24-Q2. Marginal cost...
THIRD-DEGREE PRICE DISCRIMINATION A seller faces two groups of buyers: Pi-16- Q1 and P2-24-Q2. Marginal cost is constant at $4 and fixed costs are zero a. Assuming that resale of the good by consumers is impossible, find profit-maximizing quantities and prices under 3rd-degree price discrimination. No need to calculate profit. Show graphs and math. Suppose someone argues "Under this outcome Pi and P2 differ, so this cannot be profit maximizing since a seller could always transfer a unit from the...
d segment of the labor supply of a ployer is downward sloping, then segment, the income...
d segment of the labor supply of a ployer is downward sloping, then segment, the income effect dominates the substitution effect. b) For that segment, the substation effect dominates the income effect a) For that is no wage that equilibrates the market because the labor demand is also downward sloping. d) The labor supply for that player is completely elastic. 1.7 When a firm charges different prices for the same good in different segments of the market (i.e. for different...
a. First-degree price discrimination involves a firm charging different prices: based on the firm's ability to segm...
a. First-degree price discrimination involves a firm charging different prices: based on the firm's ability to segment the market into two or more groups to each customer based on race, religion, or other individual characteristic based on the quantity of a good or service purchased. to each customer based on his or her willingness and ability to pay. b. Which of the following purchases is an example of first-degree price discrimination? A big-box store offering a discount for people who...
4. For a monopoly firm, marginal revenue (MR) is price (greater/less) than 5. To maximize profits,...
4. For a monopoly firm, marginal revenue (MR) is price (greater/less) than 5. To maximize profits, a monopoly firm picks the quantity at which revenue average revenue) equals {marginal cost/average cost) (marginal (Game Theory/Consumer Theory) is a method for analyzing strategic behavior of oligopoly firms 7. The entry of the second firm under monopolistic competition structure of market shifts the demand curve of the first firm to the (right left). D Focus ch De 9 W 11. Firms in a...
QUESTION 23 When a good or service is a luxury, its price elasticity of demand tends...
QUESTION 23 When a good or service is a luxury, its price elasticity of demand tends to be Elastic Inelastic Unit Elastic Unknown QUESTION 24 A decrease in the price of a product that a firm sells will cause the demand for it to increase. True False QUESTION 25 Economic profits are equal to total revenues minus Only implicit costs Only explicit costs Implicit and explicit costs Marginal cost QUESTION 26
19. To maximize profits in a competitive market set price equal to marginal cost. But in a monopoly, you set marginal eue equal to marginal cost. Based on the given information, answer the following questions. Total Revenue- 100Q-10Q Marginal Revenue = 100-20Q Total Cost 20+10Q Marginal Cost -10 Note: Competitive Market: To maximize profits set Price Marginal Cost Monopoly Market. To maximize profits set Marginal Revenue Marginal Cost a. What price do you charge if you are in a competitive...
To maximize profits, a firm should set its output where its is zero. O marginal cost O variable cost O marginal profit O marginal revenue
36) When a monopolist sells the same product at different prices and the prices are not related to cost differences, we have B) price differentiation. D) monopoly pricing A) price discrimination C) marginal cost pricing. 37) 37) Monopolies misallocate resources because A) price does not equal marginal cost B) profits are usually positive. C) marginal cost does not equal average total cost. D) price does not equal average total cost. 38) 38) Which of the following assumptions is true about...
THIRD-DEGREE PRICE DISCRIMINATION A seller faces two groups of buyers: Pi-16- Q1 and P2-24-Q2. Marginal cost is constant at $4 and fixed costs are zero a. Assuming that resale of the good by consumers is impossible, find profit-maximizing quantities and prices under 3rd-degree price discrimination. No need to calculate profit. Show graphs and math. Suppose someone argues "Under this outcome Pi and P2 differ, so this cannot be profit maximizing since a seller could always transfer a unit from the...
d segment of the labor supply of a ployer is downward sloping, then segment, the income effect dominates the substitution effect. b) For that segment, the substation effect dominates the income effect a) For that is no wage that equilibrates the market because the labor demand is also downward sloping. d) The labor supply for that player is completely elastic. 1.7 When a firm charges different prices for the same good in different segments of the market (i.e. for different...
a. First-degree price discrimination involves a firm charging different prices: based on the firm's ability to segment the market into two or more groups to each customer based on race, religion, or other individual characteristic based on the quantity of a good or service purchased. to each customer based on his or her willingness and ability to pay. b. Which of the following purchases is an example of first-degree price discrimination? A big-box store offering a discount for people who...
4. For a monopoly firm, marginal revenue (MR) is price (greater/less) than 5. To maximize profits, a monopoly firm picks the quantity at which revenue average revenue) equals {marginal cost/average cost) (marginal (Game Theory/Consumer Theory) is a method for analyzing strategic behavior of oligopoly firms 7. The entry of the second firm under monopolistic competition structure of market shifts the demand curve of the first firm to the (right left). D Focus ch De 9 W 11. Firms in a...
QUESTION 23 When a good or service is a luxury, its price elasticity of demand tends to be Elastic Inelastic Unit Elastic Unknown QUESTION 24 A decrease in the price of a product that a firm sells will cause the demand for it to increase. True False QUESTION 25 Economic profits are equal to total revenues minus Only implicit costs Only explicit costs Implicit and explicit costs Marginal cost QUESTION 26
Most questions answered within 3 hours.
-
A projectile is launched with an initial speed of 40 m/s at an
angle of 25°...
asked 29 seconds ago -
A concentration cell is built based on the reaction:
2H+ + 2e- ----> H2
The pH...
asked 6 minutes ago -
1. Using a function, display the customer who has the highest
credit limit. Display the customer...
asked 9 minutes ago -
How many unique codes are possibly formed from two characters,
where the first character can be...
asked 10 minutes ago -
A spatially uniform electric field varies in time according
to E = Eo + 3000 t,...
asked 34 minutes ago -
An electric power station that operates at 25 kV and uses a 20:1
step-up ideal transformer...
asked 27 minutes ago -
1. If 0.02% of a 0.6 M weak acid ionizes in a solution, what is
the...
asked 14 minutes ago -
The College of Business at Northeast College is accumulating
data as a first step in the...
asked 20 minutes ago -
what is the ph of the following solutions?
150 g NH4CI dissolved into 10.0 mL of...
asked 17 minutes ago -
A flint glass plate (n = 1.66) rests on the bottom of an
aquarium tank. The...
asked 29 minutes ago -
The position in an object as a function of time is given as ?
(?) =...
asked 44 minutes ago -
Consider a different car. Its initial position at time 5 s is
5m, and it moves...
asked 25 minutes ago