Question

p = a – bq

p = c + dq

Assume that a > c > 0 and that d > 0, b > 0. Solve for the values of p and q (in terms of the parameters a, b, c, d) that represent the intersection of these two lines. Graph your solution with p on the vertical axis and q on the horizontal axis. Note that a, b, c, d are simply positive constants.

Answer #1

The given equations are

Multiplying first equation by (d) and second equation by (b) and adding them we get

gives the point of intersection of the two lines.

The graph of the two lines is shown in figure below.

2.) For a price-searcher, assume
the demand curve is Q = 20 - P.
a.) Construct a
four-column table of P and Q with P ranging from 20 to
0. Calculate TR and MR and add them to your table.
b.) Graph D and MR. (Plot
points—with $ on the vertical axis and Q on the horizontal
axis.)
c.) Why is P > MR
(after the first unit)
3.) Using the same
price-searcher, assume the firm faces the...

Assume that demand for a commodity is represented by the
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and horizontal intercepts for demand curve, and vertical intercept
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Consider the function f(x) = √x and
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a)Graph f and the secant lines passing through the
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f(x)) for x-values of 3, 5, and 8.
b) Find the slope of each secant line. (Round your answers to
three decimal places.)
(line passing through Q(3, f(x)))
(line passing through Q(5, f(x)))
(line passing through Q(8, f(x)))
c)Use the results of part (b) to estimate the slope of the
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Suppose a monopolist faces market demand (Dm) of P(q) = a - bq
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b. What is the monopoly price?
c. What is the monopolist's output at the price found in part
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The following data represent the number of games played in each
series of an annual tournament from 1924 to 2002. Complete parts
(a) through (d) below. x (games played) 4 5 6 7 Frequency 19 17
20 22 (a) Construct a discrete probability distribution for the
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nothing 7 nothing (Round to four decimal places as needed.) (b)
Graph the discrete probability distribution. Choose the correct
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The following data represent the number of games played in each
series of an annual tournament from
19331933
to
20022002.
Complete parts? (a) through? (d) below.
x? (games played)
4
5
6
7
Copy to Clipboard
+
Open in Excel
+
Frequency
1717
1515
2121
1616
?(a) Construct a discrete probability distribution for the
random variable x.
x? (games played)
?P(x)
4
nothing
5
nothing
6
nothing
7
nothing
?(Round to four decimal places as? needed.)
?(b) Graph the discrete...

Suppose the supply curve for paper clips is given as P = -10 +
2Q.
Which one of the statements below is true?
a)The graph of supply is horizontal form Q=0 to Q=5 units.
b)The graph of supply is horizontal from Q=0 to Q=10 units.
c)There will be nothing supplied unless the market price is at
least $5.
d)This supply curve violates the law of supply.
e)The graph of supply is vertical from a price of $0 to a price...

Consider a market with demand given by P = a−bQ, where a,b >
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= mQ+F, where ﬁxed cost is F > 0 and sunk and m is positive but
small enough that the ﬁrm does not shut down.
(1) Find the monopolist’s proﬁt-maximizing price and quantity
and the monopolist’s proﬁts.
(2) Show that the proﬁt-maximizing monopolist produces on the
elastic portion of its demand curve (in the...

QUESTION 30
Figure 16-2. The figure is drawn for a monopolistically
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A graph of Price, P, versus Quantity, Q, shows a straight line,
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Let AE = C +I +G+NX where AE is the aggregate expenditure, C is
the consumption function, I is investment, G is government
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Given C = 100+0.65Y where Y is the national income and I = 100,
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(a) Graph the consumption function with Y on the horizontal axis
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(b) Graph the aggregate expenditure function with Y on the
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