3 24 points In Bricktown district in Oklahoma City, every building must be faced with brick. It requires one ton of bricks to cover the face of a building in Bricktown. That is, every building owner will only buy one ton of bricks. The main street of the district is 35 miles long with 350 buildings of the same size evenly distributed along the street. There are two brickyards in town. One is located a distance of 1 miles from the west end of the street (point 0 in the figure below), while the other is located 31 miles from the west end of the street (and thus 4 miles from the east end of the street). A map of the street is given below. To obtain one ton of bricks, a building owner of Bricktown buy the bricks from one of the yards and pay a trucking service to deliver them. All the trucking services charge $5 per mile to transport a ton of bricks. Let P1 be the price per ton charged by Brickyard 1 (BY1) and P2 the price per ton charged by Brickyard 2 (BY2). It costs Brickyards 1 and 2 the same amount, $50, to produce a ton of bricks. Each building owner is willing to pay up to $1000 for one ton of bricks. Merger image-6.png (Hint: The marginal consumer is the one who is indifferent between buying from either brickyard. You can define Xmas the distance between the marginal consumer and BY1. In that case, BY1 will serve everyone over (1 + Xm) miles. This is how we solved the question in the classroom. You can also define Xm as the distance between the marginal consumer and point O. In that case, BY1 will serve everyone over Xm miles. Please also note that there are 350 buildings over 35 miles. That is, there are 10 buildings over one mile on average.) A. Compute the Nash equilibrium prices, the number of people buying from each brickyard, and the profit of each firm. The Nash equilibrium prices are p1 = $ type your answer... and p2 = $ type your answer... There are type your answer.. people buying bricks from BY1 and type your answer... people buying from BY2. The profit of BY1 is $ type your answer.. and the profit of BY2 is $ type your answer... B. What is the (equilibrium) location of the marginal consumer, i.e., his building's distance from point 0? How much does he pay in total to buy his bricks? The marginal consumer is located at mile type your answer... and his total payment is $ type your answer.. Submit Macbook Pro24 TWELVE A COLOCAR TA WIA BOTELLAS RECICLABIL 3 Canvas Help Center ? Exit In Bricktown district in Oklahoma City, every building must be faced with brick. It requires one ton of bricks to cover the face of a building in Bricktown. That is, every building owner will only buy one ton of bricks. The main street of the district is 25 miles long with 250 buildings of the same size evenly distributed along the street. There are two brickyards in town. One is located a distance of 1 miles from the west end of the street (point 0 in the figure below), while the other is located 21 miles from the west end of the street (and thus 4 miles from the east end of the street). A map of the street is given below. To obtain one ton of bricks, a building owner of Bricktown buy the bricks from one of the yards and pay a trucking service to deliver them. All the trucking services charge $5 per mile to transport a ton of bricks. Let P1 be the price per ton charged by Brickyard 1 (BY1) and P2 the price per ton charged by Brickyard 2 (BY2). It costs Brickyards 1 and 2 the same amount, $50, to produce a ton of bricks. Each building owner is willing to pay up to $1000 for one ton of bricks. Merger image-5.png (Hint: The marginal consumer is the one who is indifferent between buying from either brickyard. You can define xm as the distance between the marginal consumer and BY1. In that case, BY1 will serve everyone over (1 + Xm) miles. This is how we solved the question in the classroom. You can also define Xm as the distance between the marginal consumer and point O. In that case, BY1 will serve everyone over Xm miles. Please also note that there are 250 buildings over 25 miles. That is, there are 10 buildings over one mile on average.) A. Compute the Nash equilibrium prices, the number of people buying from each brickyard, and the profit of each firm. X 525 X 525 X 175 X 175 The Nash equilibrium prices are p1 = $ and p2 = $ There are people buying bricks from BY1 and people buying X 46875 X 46875 from BY2. The profit of BY1 is $ and the profit of BY2 is $ B. What is the (equilibrium) location of the marginal consumer, i.e., his building's distance from point 0? How much does he pay in total to buy his bricks? 17.5 X 642.5 The marginal consumer is located at mile and his total payment is $ MacBook Air F1 F2 20 F3 808 FA F5 - F6 FZ II FB @ # $ % & EK N Co 4 5 6 8 9 O W E R T Y U O P S D F G H L K