Economics Answers

As a student you are told to acquire the following textbooks; 5mathematics, 3physics, 8chemistry, 10biology, 12english, each of these costs N900, 700, 650, 500 and 400 respectively. Find the total cost of the textbooks?, find the sub-take cost of the textbooks?, find the VAT of the textbook if the textbook vat is 5%?, find the actual cost of the textbook?

The marketing department has identified 3 distinct, but equal size, groups that have the following reservation prices for these new devices.

Group Phone Headphones Bundle
A 800 100 900
B 1000 50 1050
C 600 150 750

A. If the firm charges only individual good prices (not the bundle), what price should it set for each device to maximize profits? Assume, that revenues=profit.
B. If the firm adopts a bundling strategy, what should be the bundle price to maximize profits(revenue)?
C. What is the difference in profits(revenues) between the two pricing strategies?

A monopolist sells a product in 2 neighboring states and practices 3rd degree price discrimination by charging separate prices in each state. The market demand curve in state 1 is given by: q1=50-p1 and by q2=90-1.5p2 in state 2. The firm can produce the product at MC=10 in both states. A. What price should the monopolist charge in each state to maximize total profit? B. Suppose that a reseller could purchase the product in the low price state and transport it to the high price state at a cost of $4 per unit. How would the reseller influence the monopolist's pricing strategy in the high price state?

A monopolist can produce with costs of MC=AC=30. The inverse demand curve for the product is p=90-q. A. If the firm adopts a uniform pricing strategy, what would be the price, output, consumer surplus, producer surplus, and deadweight loss? B. If the firm is able to perfectly price discriminate?

Can we use Pigouvian taxes to address opioid addiction and for asthma? why or why not explain.

NDP at factor cost to GNP at market price

Players A and B are engaged in a coin-matching game. Each shows a coin as either heads or tails. If the coins match, B pays A $1. If they differ, A pays B $1. a. Write down the payoff matrix for this game, and show that it does not contain a Nash equilibrium. b. How might the players choose their strategies in this case?

How does a competitive firm determine its profit-maximizing level of output? Explain. • When does a profit-maximizing competitive firm decide to shut down? When does it decide to exit a market?

Have you ever walked into a restaurant for lunch and found it almost empty? Why, you might have asked, does the restaurant even bother to stay open? It might seem that the revenue from so few customers could not possibly cover the cost of running the restaurant. In making the decision of whether to open for lunch, a restaurant owner must keep in mind the distinction between fixed and variable costs. Explain why Shutting down during lunch would not reduce any of the restaurant costs

Draw the indifference curve for someone deciding how to allocate time between work and leisure. Suppose the wage increases. Is it possible that the person’s consumption would fall? Is this plausible? Discuss