Stuck on how togetthese. Please assist. I have to have this in rightaway!
8. Thefollowing data pertains to the weekly demand for tomatoesinMillaunez:
Price/
Kilogram
QuantityDemanded(thousands of kilograms)
$ 0
95
.30
90
.50
85
.70
80
.90
75
1.10
70
1.30
65
1.50
60
1.70
55
1.90
50
2.10
46
2.30
41
2.50
36
Assume that tomatoes cannot bestoredfor more than one week, and that Millaunez does not tradewithother countries. Tomatoes are brought to market only once aweek,and so on Saturday, growers market 85,000 kilogramsoftomatoes.
a. Assumeperfect competition among the tomato growers; that is, thesegrowersare not organized into a monopoly. What will be thequantity oftomatoes sold? What will be the market price? (2marks)
b. Suppose the tomato growers form an association andmarket theirproduce collectively. Their association decides to actas amonopoly and maximize profits. How much produce will they selleachweek? What will the market price be? (2 marks)
Stuck on how togetthese. Please assist. I have to have this in rightaway!
8. Thefollowing data pertains to the weekly demand for tomatoesinMillaunez:
Price/ | QuantityDemanded(thousands of kilograms) |
$ 0 | 95 |
.30 | 90 |
.50 | 85 |
.70 | 80 |
.90 | 75 |
1.10 | 70 |
1.30 | 65 |
1.50 | 60 |
1.70 | 55 |
1.90 | 50 |
2.10 | 46 |
2.30 | 41 |
2.50 | 36 |
Assume that tomatoes cannot bestoredfor more than one week, and that Millaunez does not tradewithother countries. Tomatoes are brought to market only once aweek,and so on Saturday, growers market 85,000 kilogramsoftomatoes.
a. Assumeperfect competition among the tomato growers; that is, thesegrowersare not organized into a monopoly. What will be thequantity oftomatoes sold? What will be the market price? (2marks)
b. Suppose the tomato growers form an association andmarket theirproduce collectively. Their association decides to actas amonopoly and maximize profits. How much produce will they selleachweek? What will the market price be? (2 marks)
