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Given Q1 = 150 -3P1 + P2 + P3 Q2 = 180 +P1 - 4P2 + 2P3 Q3 = 200 +2P1 + P2 - 5P3 and TC =Q12 + Q1Q2 +2Q22 + Q2Q3 +Q32 + Q1Q3 Find the inversedemand function P = f(Q) and use Cramer’s rule to solve for thecritical value Q1. (Answer in two decimal places.) Use Cramer’s rule tosolve for the critical value Q2. (Answer in two decimalplaces.) Use Cramer’s rule tosolve for the critical value Q3. (Answer in two decimalplaces.) Calculate the Hessian matrix. What is the value of|H3|? (Answer in two decimal places.) Based on the Hessian, what can you say about the profit? (Answer in one word. )

Given Q1 = 150 -3P1 + P2 + P3 Q2 = 180 +P1 - 4P2 + 2P3 Q3 = 200 +2P1 + P2 - 5P3 and TC =Q12 + Q1Q2 +2Q22 + Q2Q3 +Q32 + Q1Q3 Find the inversedemand function P = f(Q) and use Cramer’s rule to solve for thecritical value Q1. (Answer in two decimal places.) Use Cramer’s rule tosolve for the critical value Q2. (Answer in two decimalplaces.) Use Cramer’s rule tosolve for the critical value Q3. (Answer in two decimalplaces.) Calculate the Hessian matrix. What is the value of|H3|? (Answer in two decimal places.) Based on the Hessian, what can you say about the profit? (Answer in one word. )

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

Q1 = 150 -3P1 + P2 + P3

Q2 = 180 +P1 - 4P2 + 2P3

Q3 = 200 +2P1 + P2 - 5P3 and

TC =Q12 + Q1Q2 +2Q22 + Q2Q3 +Q32 + Q1Q3

Find the inversedemand function P = f(Q) and use Cramer’s rule to solve for thecritical value Q1. (Answer in two decimal places.)

Use Cramer’s rule tosolve for the critical value Q2. (Answer in two decimalplaces.)

Use Cramer’s rule tosolve for the critical value Q3. (Answer in two decimalplaces.)

Calculate the Hessian matrix. What is the value of|H3|? (Answer in two decimal places.)

Based on the Hessian, what can you say about the profit? (Answer in one word. )

 

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