Suppose that a price-searcher firm had a demand function for its product given by: QD: 200-10P. Find the marginal revenue function. Fill in the blank below. MR=20- Q (Note that the negative sign has already been provided. You do not need to include it in your response. Round to the nearest two decimal places.) Suppose that a price searcher had a total cost function given by: TC= 10 + Q +0.1Q2. The demand for the price searcher's product is given by: QD= 50- 10P. Calculate the profit-maximizing quantity the monopolist will produce. Answer:Suppose that a price-searcher monopolist had a total cost function given by: TC: 20 + 20 +0.2502. The demand for the price searcher's product is given by: 0.3: 100 -5P. Calculate the price the monopolist will charge. (Do not include a dollar Sign in your response. Round to the nearest two decimals.) Answer: Suppose that a price-searcher monopolist had a total cost function given by: TC: 20 + 0.50 +0202. The demand for the price searcher's product is given by: QB: 100 -20P. Calculate the monopolist's producer surplus. (Do not include a dollar sign in your response. Round to the nearest two decimals.) Answer: Suppose that a price-searcher monopolist had a total cost function given by: TC: 10 + Q +0.1QZ. The demand for the price searcher's product is given by: On: 50-10P. Calculate the monopolist's profit. (Do not include a dollar sign in your response. Round to the nearest two decimals.) Answer: Suppose that a price-taker firm has a marginal cost function given by: MC: 30+0.5q. The firm could join a cartel in its industry and agree to a quota of 5 units. The collusion drives the price of the good from $35.91 to $70.00. Calculate the producer surplus of this firm when they produce the quota. (Do not enter a "63" sign in your response. Round to the nearest two decimal places if necessary.) Answer: Suppose that a price-taker firm has a marginal cost function given by: MC: 30+0.5q. The firm could join a cartel in its industry and agree to a quota of 5 units. The collusion drives the price of the good from $35.91 to $70.00. Suppose that if the firm cheats on the cartel, it has no effect on the price. Calculate the producer surplus of this firm when they cheat on the cartel. (Do not enter a \"$" sign in your response. Round to the nearest two decimal places if necessary.) Answer: Suppose that a price-searcher firm was going to use a first degree price discrimination strategy. The demand for their product is given by: 0.3: 310 -2P. The firm has a constant marginal cost of $77.00 per unit. Calculate the producer surplus the firm would earn from this strategy. (Do not include a "55\" sign in your response. Round to the nearest two decimal places if necessary.) Answer: Suppose that a price-searcher firm had consumers who were all identical to each other. The individual consumer's demand function is given by: qD= 20- 5P. The firm decides to try a second-degree price discrimination scheme. The first 8 units will have a price of $2.40. After that, any units a consumer purchases will be only $1.00. The firm has a constant marginal cost of $0.80 per unit. Calculate the firm's producer surplus. (Do not include a "53\" sign in your response. Round to the nearest two decimal places if necessary.) Answer: Suppose that a price-searcher firm had consumers who were all identical to each other. The individual consumer's demand function is given by: qD= 10 -5P. The firm decides to try a second-degree price discrimination scheme. The first 2 units will have a price of $1.60. After that, any units a consumer purchases will be only $1.20. The firm has a constant marginal cost of $1.00 per unit. Calculate the consumer surplus. (Do not include a "$\" sign in your response. Round to the nearest two decimal places if necessary.) Answer: A price-searcher firm wants to try a two-part tariff. The firm's marginal cost is a constant $10 and it will charge that as the per unit price. To complicate things, the firm has two different groups of consumers. There are 10 consumers who have a demand function given by: qD=16-0.5P. There are also 40 consumers who have a demand function given by: qD=8-0.25P. If the firm charges a fee that is too high, then it may lose all of the customers of the low-willingness-to-pay group. That could be bad for their producer surplus, but it might also be worth it depending on the number of consumers lost and the size of the higher fee. Determine whether the producer surplus for the firm is greater when it charges a higher fee and has fewer customers or charge the lower fee and have more customers. Then enter the dollar amount of producer surplus. (Do not include a $ sign in your response. Round to the nearest two decimal places if necessary.)
