Which argument do you find most compelling? Why?

Economics Problems

Questions

  1. What is your name?

  2. Sketch a graph for a monopoly that is earning economic profit.

    1. Label the axes.

    2. The profit maximizing price is $100

    3. The profit maximizing quantity is 50

    4. Show the demand, marginal revenue, marginal cost, and average total cost curves facing the firm.

    5. Shade the area that equals the firm’s profit.

    6. Identify the socially efficient quantity on the graph.

    7. Shade the area that equals the dead weight loss.

Table B

Q

P

ACT

MC

10

270

150

115

11

268

147.91

127

12

266

147.17

139

13

264

147.46

151

14

262

148.57

163

15

260

150.33

175

16

258

152.63

187

17

256

155.35

199

18

254

158.44

211

19

252

161.84

223

20

250

165.50

235

21

248

169.38

247

22

246

173.45

259

23

244

177.70

271

24

242

182.08

283

 

  1. What quantity minimizes average total cost? Quantity = _____

  2. What quantity maximizes profit? Quantity = a =______

  3. What price maximizes profit? Price = $_____

  4. What is the maximum profit? Profit = $_____

  5. What is marginal cost when quantity = a, your answer in question 4?

    MC = $_____

  6. What is the socially efficient quantity? Q = ___

What is the dead weight loss when the firm maximizes profit?

Dead weight loss = $____

9.Name a product you purchased recently from a store in Richmond. _________

10. Does the store operate in a monopolistic ally competitive industry?

    1. Yes

    2. No

11. Describe how the industry meets or fails to meet each of the characteristics of monopolistic competition.

Watch this ad for Codfish sandwich.

12. Make the best case you can that this ad is not improving the efficiency of the allocation of the economies resources.

13. Make the best case you can that this ad is improving the efficiency of the allocation of the economies resources.

14. Which argument do you find most compelling? Why?

 

 

Type of paper Academic level Subject area
Number of pages Paper urgency Cost per page:
 Total: