A firm in an oligopolistic industry has identified two sets, Ask an Expert

Economics

A firm in an oligopolistic industry has identified two sets of demand curves. If the firm is the only one that changes prices (i.e., other firms do not follow), its demand curve takes the form Q = 82 − 8P. If, however, it is expected that competitors will follow the price actions of the firm, then the demand curve is of the form Q = 44 − 3P.

a. Develop demand schedules for each alternative, and draw them on a graph.

b. Calculate marginal revenue curves for each.

c. If the present price and quantity position for the firm is located at the intersection of the two demand curves, and competitors follow any price decrease but do not follow a price increase, show the demand curve relevant to the firm.

d. Draw the appropriate marginal revenue curve.

e. Show the range over which a marginal cost curve could rise or fall without affecting the price the firm charges.

View complete question

Business Economics, Economics

Category:- Business Economics
Reference No.:- M91920335

Have any Question?Write your Review or question?

Related Questions in Business Economics

Companies persue closer coordination and collaboration with

Companies persue closer coordination and collaboration with channel suppliers to better address customer needs inorder to 1) Develop human resource management activities that improve the skills, expertise and knowledge o ...

A consumer advocate group selects a random sample of 20 ink

A consumer advocate group selects a random sample of 20 ink cartridges and finds that the average number of printouts per ink cartridge is 460 with a standard deviation of 52. Find the 96% confidence interval for the pop ...

On average the parts from a supplier have a mean of 358

On average, the parts from a supplier have a mean of 35.8 inches and a standard deviation of 2.4 inches. Find the probability that a randomly selected part from this supplier will have a value between 31.0 and 40.6 inche ...

What do the terms external costs full cost accounting and

What do the terms external costs, full cost accounting, and neoclassical refer each refer to?

There are 100 identical firms in a perfectly competitive

There are 100 identical firms in a perfectly competitive industry. Market demand is given by -200P +8000. If each firm has a marginal cost curve, MC = .4 q + 4. What is the firm's supply curve? What is market supply? Wha ...

According to the same national collegiate athletic

According to the same National Collegiate Athletic Association data, the means and standard deviations of eligibility and retention rates (based on a 1,000-point scale) for the 2013-2014 academic year are presented, alon ...

What is the role of local government leadership in assuring

What is the role of local government leadership in assuring that departments and divisions work together to achieve municipal goals and objectives?

Help me solve the following questions please1 suppose we

Help me solve the following questions please. 1) Suppose we want to see if American children have higher levels of cholesterol than the average child (i.e., in the entire world - the total population). We find that the p ...

A sample of 36 us households is taken and the average

A sample of 36 U.S. households is taken and the average amount of newspaper garbage or recycling is found to be 27.8 pounds with a standard deviation of 2 pounds. Estimate, with 99% confidence, the mean amount of newspap ...

Examine the us passenger airline industry using the five

Examine the U.S. passenger airline industry using the five forces. Is this an attractive industry? Why or why not?

4,153,160 Questions Asked
13,132 Experts
2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Recent Questions

Ask Business Economics Expert