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Assume that Vietnam has a demand for laptops of Q=20.000.000 - 5000 P, We have firm A, B and J. Suppose that the marginal costs
Assume that Vietnam has a demand for laptops of Q=20.000.000 - 5000 P,
We have firm A, B and J.
Suppose that the marginal costs are the only costs of production and that there are no transport costs MCA=MCB=2500, MCJ=1900
Vietnamese customs applies a 15.8% add valorem tariff on the sales price of laptops sold by company J in Vietnam,
Calculate the new sales price, new sales quantity, new consumer surplus and the profit of the three firms. Round up to the nearest money unit.
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