Homework Answers
Solution: 4
Answering first four parts of
question is as per HOMEWORKLIB RULES.
Add Answer to:
4. Suppose 1,000 identical suppliers of bottled water operate in a perfectly competitive market. The market...
The HHI for the breakfast cereal industry is 2,521, while the HHI for the bottled water industry is 1,409. Base...
The HHI for the breakfast cereal industry is 2,521, while the HHI for the bottled water industry is 1,409. Based on this: Market power is more concentrated among fewer firms in the breakfast cereal industry, as compared to the bottled water industry. The concentration of market power among firms in the breakfast cereal industry is the same as in the bottled water industry. Market power is more concentrated among fewer firms in the bottled water industry, as compared to the...
4. The elasticity of demand in the local hardware industry is-1.5, while in the video market...
4. The elasticity of demand in the local hardware industry is-1.5, while in the video market it is -4. Which industry has a higher markup over marginal cost (as a percentage of price)? In answering, calculate the markup for each. 5. The local botled water supplier sells water for SO.50 per gallon, while marginal cost is S0.20 per gallon. What is this firm's degree of monopoly power, as measured by the Lerner index? 6. What is a network externality? And...
9.5 Gasoline is sold through local gasoline stations under perfectly competitive conditions. All gasoline station owners...
9.5 Gasoline is sold through local gasoline stations under perfectly competitive conditions. All gasoline station owners face the same long-run average cost curve given by AC .01q 1+100/q and the same long-run marginal cost curve given by MC 02q-1 where q is the number of gallons sold per day. a. Assuming the market is in long-run equii brium, how much gasoline will each individual owner sell per day? What are the long-run average cost and marginal cost at this output...
Part C Suppose the market for flowers is perfectly competitive. The market dema decimals to 2...
Part C Suppose the market for flowers is perfectly competitive. The market dema decimals to 2 decimal places. tsupply curve is qs p-200. In the questions below, round any a. Calculate the perfectly competitive equilibrium q and p Suppose the government institutes a per-unit tax on consumers equal to 75% of the market price of flowers. Calculate the new equilibrium q and p, consumer incidence, producer incidence, points (original demand and supply curves, new demand and/or s intercepts, slopes, equilibrium...
Suppose that some firms in a perfectly competitive market are making positive economic profits. Which one...
Suppose that some firms in a perfectly competitive market are making positive economic profits. Which one of the following would not be expected to occur? a. All firms’ economic profits would eventually be driven to zero at equilibrium. b. The equilibrium quantity sold will fall. c. The equilibrium price will fall. d. The supply curve will shift to the right. e. More firms would enter the market. . Which one of the following is not characteristic of a pure monopoly?...
9. The market for pizza is perfectly competitive and has 1,000 firms. Each firm is identical....
9. The market for pizza is perfectly competitive and has 1,000 firms. Each firm is identical. Describe each firm in long-run equilibrium. In long-run equilibrium, each firm is - O A. making zero economic profit OB. making positive economic profit C. incurring an economic loss OD. just covering total variable cost ID: 12.4 Test B 3 10. There are five firms in a market and the market shares of the firms are 35 percent, 25 percent, 20 percent, 15 percent,...
are making an economic Today, firms in a perfectly competitive market run, firms will profit. In...
are making an economic Today, firms in a perfectly competitive market run, firms will profit. In the long firns in a perfectly competitive market are making the market until all firms in the market onomic e) exit, producing at the minimum point on their long-run average cost d) a) exit; covering only their total fixed costs b) enter, making zero economic profit enter, making zero normal profit an economic profit when new firms enter 46. The firms in a perfectly...
TU) UdlIT IS. In a perfectly competitive market: each firm produces a unique product and chooses a price that maximize...
TU) UdlIT IS. In a perfectly competitive market: each firm produces a unique product and chooses a price that maximize there are very few firms, and each controls a large segment of the market. entry into the industry is restricted in the long run. there are many relatively small firms, and each firm is a price-taker. c. t If a firm is a price-taker, it: sells its product at the price determined by the market. sells its product at the...
1. What is a monopoly? Name 2 differences between a monopoly and a perfectly competitive market....
1. What is a monopoly? Name 2 differences between a monopoly and a perfectly competitive market. 2. What is the profit maximizing condition for a price-setting monopoly? 3. Show that MR follows the notion "same intercept, twice the slope" of demand. 4. Is a monopoly the most socially optimal market? How does a monopoly differ from a perfectly competitive market? Explain and show in a graph. What is the difference in welfare? 5. At what point would a monopoly decide...
Suppose a perfectly Competitive firms minimum average variable cost is $1 when it produces 50. If...
Suppose a perfectly Competitive firms minimum average variable cost is $1 when it produces 50. If the price is $2 and the firm's marginal cost is $2 the firm should Continue to produce, but produce less than 50 Continue to operate, but produce more than 50 Shut down Continue to produce 50 To maximize economic profit of perfectly competitive firm: will sell its goods below the market price all of the above will sell its goods above the market price...
The HHI for the breakfast cereal industry is 2,521, while the HHI for the bottled water industry is 1,409. Based on this: Market power is more concentrated among fewer firms in the breakfast cereal industry, as compared to the bottled water industry. The concentration of market power among firms in the breakfast cereal industry is the same as in the bottled water industry. Market power is more concentrated among fewer firms in the bottled water industry, as compared to the...
4. The elasticity of demand in the local hardware industry is-1.5, while in the video market it is -4. Which industry has a higher markup over marginal cost (as a percentage of price)? In answering, calculate the markup for each. 5. The local botled water supplier sells water for SO.50 per gallon, while marginal cost is S0.20 per gallon. What is this firm's degree of monopoly power, as measured by the Lerner index? 6. What is a network externality? And...
9.5 Gasoline is sold through local gasoline stations under perfectly competitive conditions. All gasoline station owners face the same long-run average cost curve given by AC .01q 1+100/q and the same long-run marginal cost curve given by MC 02q-1 where q is the number of gallons sold per day. a. Assuming the market is in long-run equii brium, how much gasoline will each individual owner sell per day? What are the long-run average cost and marginal cost at this output...
Part C Suppose the market for flowers is perfectly competitive. The market dema decimals to 2 decimal places. tsupply curve is qs p-200. In the questions below, round any a. Calculate the perfectly competitive equilibrium q and p Suppose the government institutes a per-unit tax on consumers equal to 75% of the market price of flowers. Calculate the new equilibrium q and p, consumer incidence, producer incidence, points (original demand and supply curves, new demand and/or s intercepts, slopes, equilibrium...
9. The market for pizza is perfectly competitive and has 1,000 firms. Each firm is identical. Describe each firm in long-run equilibrium. In long-run equilibrium, each firm is - O A. making zero economic profit OB. making positive economic profit C. incurring an economic loss OD. just covering total variable cost ID: 12.4 Test B 3 10. There are five firms in a market and the market shares of the firms are 35 percent, 25 percent, 20 percent, 15 percent,...
are making an economic Today, firms in a perfectly competitive market run, firms will profit. In the long firns in a perfectly competitive market are making the market until all firms in the market onomic e) exit, producing at the minimum point on their long-run average cost d) a) exit; covering only their total fixed costs b) enter, making zero economic profit enter, making zero normal profit an economic profit when new firms enter 46. The firms in a perfectly...
TU) UdlIT IS. In a perfectly competitive market: each firm produces a unique product and chooses a price that maximize there are very few firms, and each controls a large segment of the market. entry into the industry is restricted in the long run. there are many relatively small firms, and each firm is a price-taker. c. t If a firm is a price-taker, it: sells its product at the price determined by the market. sells its product at the...
1. What is a monopoly? Name 2 differences between a monopoly and a perfectly competitive market. 2. What is the profit maximizing condition for a price-setting monopoly? 3. Show that MR follows the notion "same intercept, twice the slope" of demand. 4. Is a monopoly the most socially optimal market? How does a monopoly differ from a perfectly competitive market? Explain and show in a graph. What is the difference in welfare? 5. At what point would a monopoly decide...
Most questions answered within 3 hours.
-
What taboo subject did Ida B. Wells suggest was consensual
between black men and white women?...
asked 56 minutes ago -
You have just been hired by the EPA to help with the new gas
mileage standards...
asked 1 hour ago -
4) A firm is hit by increases in its wage rate, w.
a) How does this...
asked 1 hour ago -
A square current loop 5.4 cm on each side carries a 510 mA
current. The loop...
asked 4 hours ago -
What are five tips in conducting knowledge assessment/literature
review research? Each of these tips needs to...
asked 4 hours ago -
Antigen presenting cells link innate and adaptive immune
responses. In the theoretical scenario where phagosomes cannot...
asked 4 hours ago -
Dealing with conflict, in my opinion, is a skill and an art. I
believe that those...
asked 5 hours ago -
6. A long straight wire with circular cross section and radius
1.5 cm carries a 1.2...
asked 5 hours ago -
Deacon Corporation has provided the following financial data
from its balance sheet and income statement:
Year...
asked 6 hours ago -
List and discuss at least three variables from everyday life for
which you expect the variable ...
asked 6 hours ago -
A high-pass filter consists of a 1.60 μF capacitor in series
with a 125 Ω resistor....
asked 6 hours ago -
A newly developed artificial intelligence has trouble
distinguishing hand-written numbers from hand-written alphabets.
There are pictures...
asked 6 hours ago