Question

# Microeconomic Analysis practice questions: 1) The manufactured...

Microeconomic Analysis practice questions:

1) The manufactured suggested retail price, reflecting the current market price is \$94.50 for consumer product A. The marketing retail manager for product A recently received an internal study which empirically determined the market demand for product A is QD = 475 - 1.5and its market supply curve is Q= -215 + 2.5P. How would you describe this situation, what would you expect to happen in this market?

2) According to the New York Times (November 18, 2006), the number of car producers in China is increasing rapidly. The newspaper reports "China has more car brands now than the United States... But while car sales have climbed 38 percent in the first three quarters of 2006, auto producers have increased their output even faster, causing fierce competition and a slow erosion in car prices." Use market equilibrium analysis to diagram and explain what has happened in the Chinese car market.

3) The following relations describe monthly demand and supply for a computer support service catering to small businesses Qd = 3000-10P and Qs= -1000+10P; where Q is the number of businesses that need services and P is the monthly fee in dollars. Compute the equilibrium price and output level.

4) The following relations describe monthly demand and supply for a computer support service catering to small businesses Qd = 3000-10P and Qs= -1000+10P; where Q is the number of businesses that need services and P is the monthly fee in dollars. Compute the equilibrium price and output level. Assume a new demand curve: Qd = 2500-10P. Compute and upload to Dropbox a diagram showing the new equilibrium price and quantity and determine its effect on supply.

Solved by verified expert
<p>molestie consequat, ultrices ac magna. Fusce dui lectus, congue vel laoreet ac, dictum vitae odio. Donec aliquet. Lorem ipsum dolor sit amet, consectetur adipiscing elit. Nam lacinia pulvinar tortor nec facilisis. Pellentesque dapibus efficitur laoreet. Na</p> Fusce dui lectus, congue vel laoreet ac, dictum vitae odio. Donec aliquet

Explore over 16 million step-by-step answers from our library

congue vel

ac, dictum vitae odio. Donec aliquet. Lorem ipsum dolor sit amet, consectetur adipi

trices ac magna. Fusce dui lectus, congue vel laoreet ac, dictum vitae odio. Donec aliquet. Lore

Donec aliquet. Lorem ipsum dolor sit amet, consectetur adipiscing elit. Nam lacinia pulvinar tortor nec facilisis. Pe

s a molestie consequat, ultrices ac magna. Fusce dui lectus, congue vel laoreet ac, dictum vitae odio. Donec aliquet. Lorem ipsum dolor sit amet, consectetur adipiscing elit. Nam lacinia pulvinar tortor nec facilisis. Pellentesque dapibus efficitur laoreet. Nam risus ante, dapibus a molestie consequat, ultrices ac magna. Fusce d

gue

gue

entesque dapibus efficitur laoreet. Nam risus ante, dapibus a molestie consequat, ultrices ac magna. Fusce dui lectus, congue vel laoreet ac, dictum vitae odio. Donec aliquet. Lorem ipsum dolor sit amet, consectetur adipiscing elit. Nam lacinia pulvinar tortor nec facilisis. Pellentesque dapibus efficitur laoreet. Nam risus ante, dapibus a molestie consequat, ultrices ac magna. Fusce dui lectus, congue vel laoreet ac, dictum vitae odio. Donec

icitur laoreet. Nam risus ante, dapibus a molestie consequat, ultrices a

gue

gue

iscing elit. Nam lacinia

, ultrices ac magna. Fusce dui lectus, congue vel laoreet ac, dictum vitae odi

ng elit. Nam lacinia pulvinar tortor nec facilisis. Pellentesque dapibus efficitur

a. Fusce dui lectus, congue vel laoreet ac, dictum vitae odio. Donec aliquet.

ec aliquet. Lorem ipsum dolor sit amet, consectetur adipiscing elit. Nam lacin

Donec aliquet. LoremDo

ng elit. Nam lacinia pulvinar tortor nec facilisis. Pellusce

molestie consequat, ultrices ac magna. Fusce dui lec

gue

gue

sum do

acinia pulvinar tortor nec facilis

lestie consequat,

lestie consequat, ultrices ac magna. Fusce dui lectus, congue

m ipsum dolor sit amet, consectetur adipiscing elit.

itur laoreet. Nam risus ante, dapibus a mo

s ante, dapibus a molestri

nec facilisis. Pellentesque dapibus efficitur laoreet. Ndic

inia pulvinar tortor nec facilisis. Pellentesque dapibus efficitur laoreet. Nam risus ante, dapibus a molestie consequat, ultrices ac mag

, dictum vitae odio. Donec aliquet. Lorem ipsum dolor sit am

Step-by-step explanation
sum dolor sit amet, consectetur adipiscing elit. Nam lacinia pulvinar tortor nec facilisis. Pellentesque dapibus efficitur laoreet. Nam risus ante, dapibus a mole
2 Attachments
jpeg
jpeg
Student review
100% (1 rating)
Thorough explanation