Consider a market with 190 consumers. Of these, 90 of them have individual (nverse) demands given by: PM(Q)=10-Q, while each of
the other 100 has an individual (inverse) demand of PS(Q)=10-10Q. The cost function of the monopolist serving this market is 60 400. (a) Find the aggregate demand. Analyze the cost function and find what kind of returns to scale it exhibits. (b) Compute the efficient total output (ignoring break-even constraints).(c) Compute the optimal linear price (and quantity) for this monopolist.(d) Compute the consumer surplus for a consumer of each of the two types. Also, compute the deadweight loss.
1 answer:
Answer:
Check the explanation
Explanation:
(a) Aggregate demand can be the total sum of demand of all the people. It is proposed that a person inverse demand curve of individual amounting to 90 is PM(Q) = 10-Q and individual inverse demand curve of 100 individual is PS(Q)=10-10Q. therefore the aggregate demand curve is Q=1000-100P
Kindly check the attached image below to see the step by step explanation to the question above.
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Answer:
First Cataract
Explanation:
On the map, we can see that gold could be found in the lower parts of the river of the Nile. <u>This part is called The First Cataract, and it is in the south of Egypt near Aswan. </u>
These cataracts are the areas of the Nile where the flow is quick due to the shallow water. It started at Aswan in Egypt in the first part, and ends in Khartoum, capital of Sudan, with the sixth cataract.
<u>Even in ancient times, gold was found in these places and was one of the main resources for Egypt</u> as well as the kingdom of Nubia, which was on the south.
