Two firms with mc1 10 and mc2 12each unit costs 10 for firm, Ask an Expert

Economics

Two firms with MC1 =10 and MC2 =12(each unit costs $10 for firm 1 and $12 for firm 2) are located at each end of a street of length 1. Consumers are uniformly distributed along this street and incur transportation costs TC = x2, where x is the distance they need to travel. Consumers desire at most one unit of the product that they value at V . What are the prices that these two firms will set?

What is the minimum consumer valuation that ensures the entire market is served?

View complete question

Business Economics, Economics

Category:- Business Economics
Reference No.:- M91560093

Have any Question?Write your Review or question?

Related Questions in Business Economics

A highway rest area contains a vending machine that

A highway rest area contains a vending machine that dispenses cups of coffee. The amount of coffee that the machine provides when a purchase is made approximately follows a uniform distribution between 200 and 250 ml. (a ...

Here is some questions need helphow will each of the

Here is some questions need help How will each of the following changes in demand and/or supply affect equilibrium price and equilibrium quantity in the given market; that is, do price and quantity increase or decrease, ...

Suppose that you have 5000 and you are contemplating the

Suppose that you have $5000 and you are contemplating the purchase of two investments, IBM and Walgreen's. One year from now, IBM can be sold at $ X per dollar invested, and Walgreen's can be sold for $ Y per dollar inve ...

Suppose the federal reserve sets the reserve requirement at

Suppose the Federal Reserve sets the reserve requirement at 15 percent, banks hold no excess reserves, and no additional currency is held. a. What is the money multiplier? b. By how much will the total money supply chang ...

A survey of 1272 pre-owned vehicle shoppers found that 8

A survey of 1272 pre-owned vehicle shoppers found that 8% bought the extended warranties. What is the population and what is the sample?

Graph needs to be includedmost graduate schools of business

Graph needs to be included. Most graduate schools of business require applicants for admission to take the GMAT, the Graduate Management Admission Test. Scores on the GMAT are roughly normally distribute with a mean of 5 ...

Suppose you own an acre of land you could grow crops on

Suppose you own an acre of land. You could grow crops on that land. The cost of seeds is $100. The crops you grow from those seeds will sell for $250. You could also rent the land to another farmer. The rent you could ea ...

A researcher did a one-tailed hypothesis test using an

A researcher did a one-tailed hypothesis test using an alpha level of .01. For this test, H0 was rejected. A colleague analyzed the same data but used a two-tailed test with α = .05. In this test, H0 was not rejected. Ca ...

Find the probability that 4 randomly selected people all

Find the probability that 4 randomly selected people all have the same birthday, given that all of them were born in September. Ignore leap years.

If a patient who was injured and is thinking about whether

If a patient who was injured and is thinking about whether or not to file a medical malpractice claim against his doctor. He is considered a "rational" decision maker in the sense that he decides whether or not to file a ...

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