Ask Question, Ask an Expert

+61-413 786 465

info@mywordsolution.com

Ask Microeconomics Expert

Economics


Home >> Microeconomics

The market for widgets consists of two firms that produce identical products. Competition in the market is such that each of the firms independently produces a quantity of output, and these quantities are then sold in the market at a price that is determined by the total amount produced by the two firms. Firm 2 is known to have a cost advantage over firm 1. A recent study found that the (inverse) market demand curve face by the two firms is P=280-2(Q1+Q2), and costs are C1(Q1)=3Q1 and C2(Q2)=2Q2.

What is each firm's marginal revenue
And What is each firm's reaction function?

Microeconomics, Economics

  • Category:- Microeconomics
  • Reference No.:- M941234

Have any Question?


Related Questions in Microeconomics

Question consider two goods widgets and gzots which can be

Question: Consider two goods, widgets and gzots, which can be taxed to generate government revenue. The demand elasticity of widgets is 0.5 and of gzots is 1.2. For each good the supply elasticity is infinite (horizontal ...

Question analyze the economic effect on various industries

Question: Analyze the economic effect on various industries in the US as well as other countries if a Tariff (or tax) or 30% is imposed on imports from China (and China only) to the US. Please distinguish different indus ...

Question you have just been hired by a company to evaluate

Question: You have just been hired by a company to evaluate the way the company treats its employees, suppliers, and customers. Create an analysis of the ethical theories the company would want to use to show the employe ...

Question do you think americans have lost their willingness

Question: Do you think Americans have lost their willingness to take economic risks? Data indicates that more US residents than ever before own their own businesses but at the same time, the federal government has added ...

Question consider the heckscher-ohlin model from the slides

Question: Consider the Heckscher-Ohlin model from the slides in the case of no factor substitution. The production technology of food and cloth are: QF = min [LF/3 , KF] QC = min [KC/3 , LC]. The home country has 100 uni ...

Question after years of smoldering unrest in southern

Question: After years of smoldering unrest in southern Mexico, the rebels finally mount a full-scale attack on urban areas. Order is eventually restored, but in the meantime capital has fled the country, resulting in a 5 ...

A market with q 16p-2 is supplied by a monopoly with cost

A market with Q = 16*p^-2 is supplied by a monopoly with cost C(Q) = 6 + Q^2/8. Calculate the equilibrium price, output and monopoly profits. What should be the equilibrium if the market were supplied competitively by fi ...

Question following are observations on the market price and

Question: Following are observations on the market price and the quantity of good X produced and consumed in three different years: $10 and 100 units, $4 and 57 units, and $8 and 88 units. Can we conclude that the market ...

Discussion 1 what effect does a meta-synthesis or

Discussion: 1. What effect does a meta-synthesis or meta-analysis have on research translation? Describe a clinical practice in place that is supported by this level of evidence. 2. Comparative effective research is impo ...

Question after increasing steadily for several years the

Question: After increasing steadily for several years, the LEI turns down by 0.5% one month. What other factors would you examine in determining whether to curtail your business plans ahead of any recession, and how long ...

  • 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

Follow Us

© Copyright 2013-14 mywordsolution.com All rights reserved