Microeconomics Answers

SANUMARC produces fingerlings for sell. The quantity x (kg) of these fingerlings demanded each week is related to the wholesale unit price p by the equation P = − 0.006x + 180 The weekly total cost incurred by SANUMARC for producing x kgs of fingerlings is C(x) = 0.000002x3 – 0.02x2 + 120x + 60,00 a. Find the marginal cost function C, [5] b. Find the marginal revenue function R’ [5] c. Find the marginal profit function P’ (5) d. Compute P’(2000) and interpret the results.

One of the principles of production includes that in order to produce goods and services which can be sold, and generate revenue and profits, a firm must purchase or hire scarce inputs, which are its factors of production. Product curves show the relationship between these additional factors of production such as labour or capital, and how much of a good is actually produced.

Suppose that market demand is given by the equation qd=121.00−p, and market supply is given by the equation qs=p−16.00. If the government imposes a price ceiling on this good at a price of $30.00, what would be the change in consumer's surplus relative to the market equilibrium? When making your calculation, assume that the consumers who value the good the most are the ones who purchase the good. Also, assume that these consumers purchase the good at the ceiling price. Round your answer to two decimal places.

Suppose that market demand is given by the equation qd=111.00−p, and market supply is given by the equation qs=p−15.00. If the government imposes a price ceiling on this good at a price of $25.00, what would be the change in producer's surplus relative to the market equilibrium?

Suppose that market demand is given by the equation 𝑞

𝑑

=111.00−𝑝

qd=111.00−p, and market supply is given by the equation 𝑞

𝑠

=𝑝−15.00

qs=p−15.00. If the government imposes a price ceiling on this good at a price of $25.00, what would be the change in producer's surplus relative to the market equilibrium?

neena to have 1 cup of coffee with 2 slices of bread everytime. write down neena's utility function for x and y

Syarikat Berjaya Emas is a single company in the industry that produces products for which there are no close substitutes. The company maintain its current position of dominance in the market by forming different barriers of entry to prevent new competitors from entering the industry. Besides, the company also use a price discrimination strategy to charge different buyers at different prices for the same product even though the cost is the same.

Assume that you are the decision maker of Syarikat Berjaya Emas. Apply your knowledge in market structure to discuss FOUR major attributes of the market structure which Syarikat Berjaya Emas operates. Relevant examples and explanation for each attribute provided are required to support your answers.

 Consider the utility function U (x, y) = 3x² + 5y with MUx = 6x  and MUy  = 5 .

Required a)  Is the assumption that ‘more is better’ satisfied for both goods?

b) What is MRSx, y for this utility function? 

c) What does the MRS_x,y tell us?

d)  Is the MRSx,y  diminishing, constant, or increasing as the consumer substitutes x for  y along an indifference curve? why 

e) Will the indifference curves corresponding to this utility function be convex to the origin (bowed toward the origin), concave to the origin (bowed away), or straight lines? Explain.