A magician recorded his magic show and broadcast it  freely in internet. How would you classify the show with  reference to rivalrous and excludability?

ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN:9780190931919
Author:NEWNAN
Publisher:NEWNAN
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
icon
Related questions
Question

(a) A magician recorded his magic show and broadcast it  freely in internet. How would you classify the show with  reference to rivalrous and excludability?

(b) There are two online magic show enthusiasts, A and B in  the market.  Their demand functions are QA = 5 – 0.25PA and  QB = 15 – 0.5PB respectively.  Explain the method to obtain  the market demand function for magic show which are freely  available online.

(c) Draw the marginal social benefit curve for online magic show.

(d) If a magician produces magic show and broadcast online  to both individuals at a constant marginal cost of $20, what  is the market equilibrium quantity and price of online magic  shows?

Expert Solution
steps

Step by step

Solved in 2 steps

Blurred answer
Knowledge Booster
Branding
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, economics and related others by exploring similar questions and additional content below.
Similar questions
Recommended textbooks for you
ENGR.ECONOMIC ANALYSIS
ENGR.ECONOMIC ANALYSIS
Economics
ISBN:
9780190931919
Author:
NEWNAN
Publisher:
Oxford University Press
Principles of Economics (12th Edition)
Principles of Economics (12th Edition)
Economics
ISBN:
9780134078779
Author:
Karl E. Case, Ray C. Fair, Sharon E. Oster
Publisher:
PEARSON
Engineering Economy (17th Edition)
Engineering Economy (17th Edition)
Economics
ISBN:
9780134870069
Author:
William G. Sullivan, Elin M. Wicks, C. Patrick Koelling
Publisher:
PEARSON
Principles of Economics (MindTap Course List)
Principles of Economics (MindTap Course List)
Economics
ISBN:
9781305585126
Author:
N. Gregory Mankiw
Publisher:
Cengage Learning
Managerial Economics: A Problem Solving Approach
Managerial Economics: A Problem Solving Approach
Economics
ISBN:
9781337106665
Author:
Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor
Publisher:
Cengage Learning
Managerial Economics & Business Strategy (Mcgraw-…
Managerial Economics & Business Strategy (Mcgraw-…
Economics
ISBN:
9781259290619
Author:
Michael Baye, Jeff Prince
Publisher:
McGraw-Hill Education