Bài tập Kinh tế vi mô (bằng Tiếng Anh), Assignments of Telemedicine

Download Bài tập Kinh tế vi mô (bằng Tiếng Anh) and more Assignments Telemedicine in PDF only on Docsity! Excercise Ex 9: A typical consumer bought 24 music tracks, q1, per quarter and consumed 18 units of live music, q2, per quarter. This average consumer’s Cobb-Douglas utility function as: U = q1 0.4 q2 0.6. What is marginal rate of substitution of this consumer if q1 = 24, q2 = 18? Ex 10: a) What is inverse demand function? b) True or false? If the demand function is x1 = −p1, then the inverse demand function is x = −1/p1. Ex 11: A computer assembly firm’s production function is q = 0.1LK + 3L2K - 0.1L3K. a) What is its short-run production function if capital is fixed at K = 10? b) Determine the marginal product of labor (MPL) and average product of labor (APL) in this case Ex12: Eric purchases food (measured by x) and clothing (measured by y) and has the utility function U (x, y) = xy. He has a monthly income of $800. The price of food is Px = $20, and the price of clothing is Py = $40. Find optimal choice 20.x + 40.y = 800 Ex13: A monopolist faces demand function: Q(D) = 75-0.5p and variable cost VC= 0.5q2, FC=500. Find the price and quantity produced for firm’s profit maximization? AC =0,5q^2 + 500 => MC = q Q(D) => P =150 – 2Y => TR = P.Y = 150Y – 2Y^2 => MR = 150 – 4Y Consider the perfectly competitive market for lobsters in the village of Rockport and suppose that there are many market stalls selling lobsters around the village. Assume that each of them faces a cost function of C(q) = 4 + if they decide to sell any lobsters, otherwise their cost is 0. Consider the market in the long run and the case where there is free entry. The inverse demand for lobsters is given by p(Q) = 10 − Q. 1. What is the average total cost? And the marginal cost? 2. Considering the market in the long run: a) What is the supply function for a single market stall? b) What is the market supply function? c) What is the price in equilibrium? How many lobsters are sold? How many market stalls will there be? 3. What are the equilibrium price and quantity under monopoly? Completive market and Monopoly Consumer theory Rebecca likes eating bagels (b) and drinking coffee (c) for breakfast. Her preferences can be represented by the function U(c, b) = 1. Graph Rebecca’s indifference curve corresponding to utility level u = 64 (bagels should be on the x−axis). 2. Suppose that Rebecca budgets m dollars for breakfast every week, and the price of bagels and coffee at the cafe are pb and pc respectively. (a) Write down Rebecca’s optimization problem when she is deciding how many coffees and bagels to consume each week. (b) Solve for how many coffee and bagels Rebecca would consume as a function of pb, pc, and m (c) Are coffee and bagel normal goods or inferior goods? Why? 3. Now suppose that Rebecca budgets 10 dollars for breakfast every day and only eats at Flour Bakery, where the price of a bagel is 1 dollar and the price of a cup of coffee is 4 dollars. However, because Rebecca is part of the loyalty program at the cafe, Rebecca receives a 50 percent discount on coffee. (a) Graph Rebecca’s budget set with bagels on the x-axis. (b) Find the number of bagels and cups of coffee that Rebecca chooses to buy. 4. After a while, Flour Bakery realizes it is losing money because too many people are using its loyalty program to buy coffee. Flour Bakery changes its loyalty program: now, a customer only gets a 50 percent discount on the first three cups of coffee they buy in any given day. (a) Graph Rebecca’s new budget set (carefully label important points on the graph). (b) What quantity of coffee and bagels would Rebecca choose to consume given the new budget set? How does this answer compare with the previous result? Explain. 5. Flour Bakery is still losing money. It decides to get rid of its loyalty program altogether so that no one gets any discounts on coffee. Find Rebecca’s consumption of coffee and bagels without any discounts. 6. Disappointed that the loyalty program has been cancelled, Rebecca goes searching for another cafe and discovers that Tatte sells coffee for 2 dollars and bagels for 2 dollars. The quality of coffee and bagels is the same between Tatte and Flour Bakery. How many bagels and coffee does Rebecca buy at Tatte? (b) Rebecca only has time to go to one coffee shop before class. Which one does she go to? Why? 7. Now suppose that there are 30 consumers, all with utility for coffee and bagels U(c, b) = = . Suppose that ten of the consumers budget five dollars for breakfast, ten of the consumers budget ten dollars for breakfast, and ten budget fifteen dollars for breakfast. (a) Find the aggregate demand curve for coffee. (b) Suppose that the supply curve for coffee is given by Qs(P) = 5P. What is the equilibrium price and quantity in the market for coffee?