How can Qwest, a supplier of local telephone service, determine the optimal two-part tariff if its...
How can Qwest, a supplier of local telephone service, determine the optimal two-part tariff if its customers have different (but know to the supplier) demand curves? Please illustrate your answer by using graphs as support.
Homework Answers
This is the general case.
Add Answer to:
How can Qwest, a supplier of local telephone service, determine
the optimal two-part tariff if its...
please answer each part and dont forget to put what part are you solving in each...
please answer each part and dont forget to put what part are you
solving in each question
1. Consider the market for electric cars in 2011 in long-run equilibrium before Tesla launched the Model S. a. Draw the long-run optimal mix (130-quant and iso-cost) and short-run per unit cost curves and indicate the optimal L,K, C, 9., and p, on the graphs you have drawn. b. The overall demand for electric cars began to grow soon after the launch of...
Suppose the monopoly has a constant marginal cost of 0 and can sell its good to...
Suppose the monopoly has a constant marginal cost of 0 and can sell its good to two different groups of customers. One group of “poor” has demand function P = 1.5 – Q; the other – equally large group of “rich” has demand: P = 2 – Q. The seller cannot tell whether a particular consumer is rich or poor, but she knows that there is equal number of both types. What is the optimal pair of two-part tariffs: the...
1. (20 points) Assume you are an altruistic monopolist, meaning that you want to both maximize...
1. (20 points) Assume you are an altruistic monopolist, meaning that you want to both maximize profits AND social welfare. You have many customers, and your inverse market demand curve is P = 100 - Q. Marginal cost is 20. HINT: To start this problem, draw a graph similar to Fig. 6.2 (noting that it is missing its marginal revenue curve), and keep in mind that you can draw both the demand and MR curves without any calculations. If you...
Location Section Project A small logistic company named LogTransit currently has 3 manufacturing facilities (suppliers) called...
Location Section Project A small logistic company named LogTransit currently has 3 manufacturing facilities (suppliers) called Supplier #1, #2 and #3 to supply for goods of its 3 retail stores (customers) called Customer A, B, and C. Due to customer demands at stores are increasing, the company is considering to construct a new manufacturing facility. The new factory will have a supply capacity of 200 units per week. After screening many potential sites, Toledo and Cincinnati have been determined to...
Hello, this is a Micro Economic problems Could you please be kind enough and solve all of problems with the explanation in detail? Thank you and have a good one! 1. Suppose a firm has market power an...
Hello, this is a Micro Economic problems Could you please be kind enough and solve all of problems with the explanation in detail? Thank you and have a good one! 1. Suppose a firm has market power and faces a downward sloping demand curve for its product, and its marginal cost curve is upward sloping. If the firm reduces its price, then: A) consumer and producer surplus must increase. B) consumer surplus increases, producer surplus may increase or decrease. consumer...
Shakti inc has been granted a patent for its America toothache balm. Part II (choose A...
Shakti inc has been granted a patent for its America toothache
balm.
Part II (choose A or B) Shakti Inc has been granted a patent for its America toothache balm. The table below shows the demand and the total cost schedule for the firm A. Quantity (cases) 0 Price (dollars 80 72 Total Cost dollars) 80 56 48 40 32 24 16 100 124 164 208 268 340 5. Graph the demand, marginal revenue, and the marginal cost curves Determine...
4. How shifts in demand and supply affect equilibrium Consider the market for pens. Suppose that...
4. How shifts in demand and supply affect equilibriumConsider the market for pens. Suppose that the number of students with an allergy to pencil erasers increases, causing more students to switch from pencils to pens in school. Moreover, the price of ink, an important input in pen production, has increased considerably.On the following graph, labeled Scenario 1, indicate the effect these two events have on the demand for and supply of pens.Note: Select and drag one or both of the...
Graphing Assignment #3 You are presented with the following data from The Home Depot (THD) on...
Graphing Assignment #3 You are presented with the following data from The Home Depot (THD) on sales of its Snowminator Snow Shovel during the winters of 2012-2015, throughout Canada. The product’s price (P), measured in Canadian Dollars, is: 26, 22, 18, 14, 10, 6, and 2. The corresponding quantity demanded (Qd) in the Northern part of the nation, measured in millions of shovels, was: 3, 6, 9, 12, 15, 18, and 21. While the corresponding quantity demanded, measured in millions...
Problem 1 REGIONAL AIRLINES Regional Airlines is establishing a new telephone system for handling flight re...
Problem 1 REGIONAL AIRLINES Regional Airlines is establishing a new telephone system for handling flight reservations. During the 10:00 A.M. to 11:00 A.M. time period, calls to the reservation agent occur ran- domly at an average of one call every 3.75 minutes. Historical service time data show that a reservation agent spends an average of 3 minutes with each customer. The waiting line model assumptions of Poisson arrivals and exponential service times appear reasonable for the telephone reservation system. Regional...
Consider the market for pens. Suppose that increased medical concerns over lead pencils have led schools to steer away from pencil use in favor of pens. Moreover, the price of plastic, an important input in pen production, has increased considerably.
13. How shifts in demand and supply affect
equilibriumConsider the market for pens. Suppose that increased medical
concerns over lead pencils have led schools to steer away from
pencil use in favor of pens. Moreover, the price of plastic, an
important input in pen production, has increased considerably.On the following graph, labeled Scenario 1, indicate the effect
these two events have on the demand for and supply of pens.Note: Select and drag one or both of the curves to the...
please answer each part and dont forget to put what part are you
solving in each question
1. Consider the market for electric cars in 2011 in long-run equilibrium before Tesla launched the Model S. a. Draw the long-run optimal mix (130-quant and iso-cost) and short-run per unit cost curves and indicate the optimal L,K, C, 9., and p, on the graphs you have drawn. b. The overall demand for electric cars began to grow soon after the launch of...
1. (20 points) Assume you are an altruistic monopolist, meaning that you want to both maximize profits AND social welfare. You have many customers, and your inverse market demand curve is P = 100 - Q. Marginal cost is 20. HINT: To start this problem, draw a graph similar to Fig. 6.2 (noting that it is missing its marginal revenue curve), and keep in mind that you can draw both the demand and MR curves without any calculations. If you...
Location Section Project A small logistic company named LogTransit currently has 3 manufacturing facilities (suppliers) called Supplier #1, #2 and #3 to supply for goods of its 3 retail stores (customers) called Customer A, B, and C. Due to customer demands at stores are increasing, the company is considering to construct a new manufacturing facility. The new factory will have a supply capacity of 200 units per week. After screening many potential sites, Toledo and Cincinnati have been determined to...
Hello, this is a Micro Economic problems Could you please be kind enough and solve all of problems with the explanation in detail? Thank you and have a good one! 1. Suppose a firm has market power and faces a downward sloping demand curve for its product, and its marginal cost curve is upward sloping. If the firm reduces its price, then: A) consumer and producer surplus must increase. B) consumer surplus increases, producer surplus may increase or decrease. consumer...
Shakti inc has been granted a patent for its America toothache
balm.
Part II (choose A or B) Shakti Inc has been granted a patent for its America toothache balm. The table below shows the demand and the total cost schedule for the firm A. Quantity (cases) 0 Price (dollars 80 72 Total Cost dollars) 80 56 48 40 32 24 16 100 124 164 208 268 340 5. Graph the demand, marginal revenue, and the marginal cost curves Determine...
Problem 1 REGIONAL AIRLINES Regional Airlines is establishing a new telephone system for handling flight reservations. During the 10:00 A.M. to 11:00 A.M. time period, calls to the reservation agent occur ran- domly at an average of one call every 3.75 minutes. Historical service time data show that a reservation agent spends an average of 3 minutes with each customer. The waiting line model assumptions of Poisson arrivals and exponential service times appear reasonable for the telephone reservation system. Regional...
13. How shifts in demand and supply affect
equilibriumConsider the market for pens. Suppose that increased medical
concerns over lead pencils have led schools to steer away from
pencil use in favor of pens. Moreover, the price of plastic, an
important input in pen production, has increased considerably.On the following graph, labeled Scenario 1, indicate the effect
these two events have on the demand for and supply of pens.Note: Select and drag one or both of the curves to the...
Most questions answered within 3 hours.
-
Exercise 8-51 Algo
An accounting professor is notorious for being stingy in giving
out good letter...
asked 33 seconds ago -
month
total distribution cost
level of activity (unit produced)
july
230.000
3500
august
250.000
3750
september...
asked 1 minute ago -
A smoke detector system uses two devices, A and B. If smoke is
present, the probability...
asked 49 minutes ago -
Your division head has assigned another important project to you
and your team. This project is...
asked 14 minutes ago -
Under normal use conditions, the Mean Time To Failure of a
heating coil can be modeled...
asked 1 hour ago -
Consider the probability that fewer than 34 out of 116 CDs will
be defective. Assume the...
asked 29 minutes ago -
4J Manufacturing Company uses a job order cost accounting system
and keeps perpetual inventory records. Prepare...
asked 18 minutes ago -
Please write code in C++
using recursive function
Write a program that computes the sequence of...
asked 16 minutes ago -
What is 345 as an unsigned decimal number? It is 34
with subscript of 5. Not...
asked 33 minutes ago -
I've been struggling with these homework questions. Any help
would be greatly appreciated
1. For the...
asked 31 minutes ago -
Read the In-Depth Integrative Case 1.2 (Pharmaceutical
Companies, Intellectual Property, and the Global AIDS Epidemic) in...
asked 30 minutes ago -
Consider a mass-spring system. The spring has a spring constant
of 2.27e+3 N/m. On the end...
asked 36 minutes ago