Suppose a firm in a symmetric monopolistic- competitive industry (i.e., all firms in the industry have the exact same cost structure) has the cost function C = 200,000 + 500X where X is the firm's sales. Further assume that industry sales (S) is 500,000 and the slope parameter on the demand curve (b) is 0.025. Calculate the equilibrium number of firms in the industry (n), the price charged by each firm (P), and the number of sales each firm has (X). Show your work!!!!!!

Suppose you are employed at a monopolistic company as a research (pricing) economist and you are deriving the behavior of two markets based on demand curves given by: Di(P1) 3 50 — Pі D:(p>) — 50 — 2р2 Assume that the marginal cost is constant at $8 a unit. (a) If it can price discriminate, what price should it charge in each market in order to maximize profits? (b) If it can't price discriminate, what price should it charge?

Suppose that a company operates in the monopolistically competitive market for denim jackets. The following graph shows the demand curve, marginal revenue (MR) curve, marginal cost (MC) curve, and average total cost (ATC) curve for the firm. Place a black point (plus symbol) on the graph to indicate the long-run monopolistically competitive equilibrium price and quantity for this firm. Nex place a grey point (star symbol) to indicate the minimum average total cost the firm faces and the quantity associated with that cost. (?) PRICE (Dollars per jacket) 100 90 80 70 60 50 ATC 20 40 30 20 10 10 MC MR Demand 0 + + 0 10 20 30 40 50 60 70 80 90 100 QUANTITY (Thousands of jackets) Mon Comp Outcome Min Unit Cost at the optimal the efficient scale. Because this market is monopolistically competitive, you can tell that it is in long-run equilibrium by the fact that P= ATC quantity for each firm. Further, the quantity the firm produces in long-run equilibrium is True or False: This indicates…

Consider the model with monopolistic competition and full symmetry between the firms (internal returns to scale) in a single integrated market. Now assume that a new technology becomes available that reduces a firm's marginal cost of production by a given amount but requires a larger fixed-cost investment to implement. Suppose that all fırms adopt the new technology. How does this impact the equilibrium number of varieties and the equilibrium price? Show your work. Edit View Insert Format Tools Table