(Figure: Short-Run Monopoly in the Market for Electricity) Use Figure: Short-Run Monopoly in the Market for Electricity. The marginal cost of producing the profit-maximizing quantity is: Price and cost N 0 0 0. O Q. P Q Kranscript OP. ON RSTU MC MR ATC AVC Demand Quantity (KWH per pound)
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- Figure: A Profit-Maximizing Monopoly Firm Price, marginal revenue, marginal cost, average total cost A) $5. OB) $13. C) $14. $35 D) $20. 29 26 రారాళి 8 5 0 (Figure: A Profit-Maximizing Monopoly Firm) Look at the figure A Profit-Maximizing Monopoly Firm. This firm's profit per unit is: MC ATC MR 160 220 250 300 Quantity of output (per week)A publisher faces the following demand schedule for the next novel from one of its popular authors:Price Quantity Demanded100 090 100,00080 200,00070 300,00060 400,00050 500,00040 600,000 530 700,00020 800,00010 900,0000 1,000,000The author is paid $2 million to write the book, and the marginal cost of publishing the book is aconstant $30 per book.a. Compute total revenue, total cost, and profit at each quantity. What quantity would a profitmaximizing publisher choose? What price would it charge? b. Compute marginal revenue. (Recall that MR=∆TR/∆Q.) How does marginal revenue compare tothe price? Explain. c. Graph the marginal-revenue, marginal-cost, and demand curves. At what quantity do themarginal-revenue and marginal-cost curves cross? What does this signify? d. In your graph, shade in the deadweight loss. Explain in words what this means. e. If the author was paid $3 million instead of $2 million to write the book, how would this affectthe publisher’s decision regarding the price…The diagram bow depts the demand curve (D), the marginal revenue curve (MRO), the marginal cost curve (MC), the average variable cost con (C) and the (ATC) for a monopoly producing a good named ALPHA2 Based upon the information shown on the graphs, determine the maximum profits of the moneonly knowing that the seat value of Xie 35 247 15 Price 10 54 25 204 40 60 sst 50+ 45 30 x+ MC ATC AVC MR 50 60 70 80 90 100 110 120 130 140 150 160 170
- (9) What a monopoly's ATC , Demand, MR and MC Looks like if the monopoly is operating with loss.Price and cost (dollars per student) $150 120 88 76 72 ATC 40 - MC MR 24,000 30,000 36,000 Quantity of students enroiled 15,000 Your college decides to offer a psychology course as a MOOC that can be taken by students anywhere in the world, whether they are actually enrolled in your college or not. The demand and cost situation for the MOOC is shown in the figure. The faculty member who designed the course argues: "I think the course should be priced so that the maximum number of students enroll." Which price should this faculty member favor? O A. $0 В. $40 C. $88 D. $150=b10| || || phphattempt 631066&cmid=55726&page-31 $25 4 aaa $5 S Select one Ob $50 O $500 04 $1,000 888 The diagram above shows the demand and cost curves for a market that could either be a monopoly or perfectly competitive in Long Fun Equilibrium the market a onopoly Deadweight Loss DWL) would be R F % 5 V T 200 300 400 500 600 Output 10) G M 6 B MacBook Air PR LAATC LMC Y Demand P H &7 U N 8 61 M W DI K GTE " O 1 Next 0 V L
- PRICE (Dollars per gigabyte of data) 20 18 16 14 0 0 2 MR 5 QUANTITY (Gigabytes of data) 6 O True False 8 ATC MC 9 10 D + Which of the following statements are true about this natural monopoly? Check all that apply. Monopoly Outcome It is more efficient on the cost side for one producer to exist in this market rather than a large number of producers. The 5G LTE company is experiencing diseconomies of scale. The 5G LTE company is experiencing economies of scale. In order for a monopoly to exist in this case, the government must have intervened and created it. True or False: Without government regulation, natural monopolies never earn zero profit in the long run.1. A certain computer company produces three kinds of computers, labelled A, B and C. This computer company has three factories, labelled 1, 2 and 3. The profit for each computer, the in-process space needed to produce each computer, and the market demand per day is indicated below: A B C 350 550 300 Product: Profit ($): In-process space (ft2): 20 Market demand/ day: 900 1200 750 15 10 As long as the number of computers produced are not more than the market demand, they will be sold. The three factories have the following production space: 2 3 Factory: Production space (ft2): 13000 12000 5000 1 (a) Identify variables for the optimization problem (b) Write down the objective function (c) Write down the constraints for production space (d) Write down the constraints for market demand. (e) Write down any other constraints needed to complete the optimization problem43. To be a natural monopoly a firm must OO Ohave significant network externalities O control a key resource input be very large relative to the total market have economies of scale that are so large that it can supply the entire market at a lower cost than two or more firms
- s) You have a bicycle rental business which has 500 adult bikes and 250 children's bikes. The bikes have a fixed cost of $1,000 to maintain, but no marginal cost to rent them out. Demand is below. Price/hour $10 9 8 7 6 ANWAGO 5 4 3 2 1 Adults 50 100 150 200 250 300 350 400 450 500 Children 0 0 0 0 0 50 100 150 200 250 a. If you, by law, can only charge one price, what would it be, and to whom? b. If you could charge adults and children different prices, what would be the prices to each group?Need urgent help with gr 11 economics!!! Can some explain strategies the company Luxottica uses to compete in a monopoly industryO Macmillan Learning The accompanying graph depicts a hypothetical monopoly. Follow instuctions 1-3 below to identify the monopoly's profits. 1. Place point E at the monopoly's profit maximizing price and quantity. 2. Move the average total cost (ATC) curve to a position that depicts the monopoly earning a positive profit. 3. Place the area labeled Profit in the area of the graph that represents the monopoly's profit. Price ($ per unit) 10 9 8 7 6 5 3 2 1 0 0 1 E K MR 2 3 4 5 6 Quantity (millions of units) 7 MC 8 D ATC 9 10 Profit