Ask Question, Ask an Expert

+61-413 786 465

info@mywordsolution.com

Ask Microeconomics Expert

A monopolist sells in two geographically divided markets, the East and West. Marginal cost is constant at $50 in both markets. Demand and marginal revenue in each and every market are as follows:

QE = 900 - 2Pe
MRe = 450 - QE
QW = 700 - PW
MRw = 700 - 2Qw

a. Find out the profit-maximizing price and quantity in each market.

b. In which market is demand more elastic?

Microeconomics, Economics

  • Category:- Microeconomics
  • Reference No.:- M9292996

Have any Question? 


Related Questions in Microeconomics

Question - suppose that emergency room services in a city

Question - Suppose that emergency room services in a city are provided by three hospitals. Two of the hospitals each have a market share of 40% and the third hospital has a market share of 20%. Compute the pre-merger and ...

Question in the united kingdom and several other countries

Question: In the United Kingdom and several other countries, the loser of the case pays the winner's legal fees. Do you expect to see plaintiffs' attorneys operating under contingency arrangements in these countries? Why ...

Question the discussion answers must be a minimum of 125

Question: The discussion answer(s) must be a minimum of 125 words of substance with any references cited in APA format. No copying and pasting of work previously done for someone else. This week we are looking at industr ...

Question assume that the consumer purchases only two goods

Question: Assume that the consumer purchases only two goods, x and y. Based on the information in each of the following parts, sketch a plausible set of indifference curves (that is, draw at least two curves, and indicat ...

Question suppose that the tax ti paid by individual i is

Question: Suppose that the tax (Ti) paid by individual i is the following function of his or her income (Xi): Ti = 0.1(Xi - 2000) = 0.1Xi - 200 (i.e. there is a flat tax of 10% on all income over 2000). You know that tot ...

Question many critics of government programs to help low

Question: Many critics of government programs to help low income individuals argue that these programs create a poverty trap. Explain how programs such as TANF, EITC, SNAP, and Medicaid will affect low-income individuals ...

Question despite the economic progress that the us has

Question: Despite the economic progress that the U.S. has observed in the past century, the standard of living remains extremely low in many countries. Consider the following regarding poverty in developing countries: • ...

Question given recent trends what are the near-term

Question: Given recent trends, what are the near-term prospects for the U.S. economy, and how simulative or restrictive do you expect economic policy (both monetary and fiscal) to be over (say) the next 12 months, and ho ...

Question the information below shows the percentage of

Question: The information below shows the percentage of total sales (market sales) for each firm in the health care industry: Firm Percentage of sales 1 35 2 10 3 25 4 3 5 4 6 18 7 2 8 3 a) what is the 4 firm concentrati ...

Question - george ragsdale sells new cars for seekins ford

Question - George Ragsdale sells new cars for Seekins Ford. George usually sells the largest number of cars on Saturday. He has developed the following probability distribution for the number of cars he expects to sell o ...

  • 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

Why might a bank avoid the use of interest rate swaps even

Why might a bank avoid the use of interest rate swaps, even when the institution is exposed to significant interest rate

Describe the difference between zero coupon bonds and

Describe the difference between zero coupon bonds and coupon bonds. Under what conditions will a coupon bond sell at a p

Compute the present value of an annuity of 880 per year

Compute the present value of an annuity of $ 880 per year for 16 years, given a discount rate of 6 percent per annum. As

Compute the present value of an 1150 payment made in ten

Compute the present value of an $1,150 payment made in ten years when the discount rate is 12 percent. (Do not round int

Compute the present value of an annuity of 699 per year

Compute the present value of an annuity of $ 699 per year for 19 years, given a discount rate of 6 percent per annum. As