Consider a market for used computer printers, where buyers value good ones at $1,000 and bad ones at $760. Sellers value good ones at $910 and bad printers at $690. Sellers can attach a warranty at cost of $20 per month for good ones and $45 for bad ones. What is the minimum number of month necessary in order for the seller of good printers to be able to signal her type? O 5 0 9 O 11

Consider a market for used computer printers, where buyers value good ones at $1,000 and bad ones at $760. Sellers value good ones at $910 and bad printers at $690. Sellers can attach a warranty at cost of $20 per month for good ones and $45 for bad ones. What is the minimum number of month necessary in order for the seller of good printers to be able to signal her type? O 5 0 9 O 11

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Table 2 Shows Media Cable’s demand table, total revenue, and marginal revenue at each price. Why, at any price lower than $130, is the marginal revenue from an additional sale less than the price? Table 2 Price Amount Demanded Total Revenue Marginal Revenue $160 0 $0 n/a $130 90 $11,700 $130.00 $100 200 $20,000 $75.45 $80 350 $28,000 $53.33 $40 600 $24,000 -$16.00 $0 850 $0 -$96.00 Question 1 options: a) Lowering the price means that Media Cable lowers the price on all cable packages sold, and the combination of the price effect and quantity effect work together to reduce the Marginal Revenue. b) Marginal revenue is calculated by dividing the change in quantity into the change in Total Revenue. c) The price effect tends to increase Total Revenue. d) The quantity effect tends to decrease Total Revenue. e) It cost less to provide a service in…
O $300 Question 11 3 pts Consumers are willing to pay a higher price for a brand-name product as opposed to a generic product because O they are willing to pay more for the privilege of watching the firm's commercials. O consumers maximize utility by purchasing the most expensive products. O a brand name provides a signal about a product's quality and reliability. O a brand-name product itself is always of higher quality. 3 pts Question 12 As competitors enter a market, demand becomes more meaning the demand curve
In looking at this diagram...please solve
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