it's the last day of 2024 and I still have an exam to go :') Glad I found this video, I'll ace my exam this afternoon! Thank you so much and I wish everyone a happy new year
Dear Professor, This video is a gift for all who want to learn monopoly profit maximization, you did it in an easy and understandable way, now i can face my exam with ease. Thanks a lot :), keep doing such good work.
To find where the demand curve crosses the x-axis, set P = 0 in the demand equation and solve for Q. For example, if P = 130 - 0.50Q, plug 0 in for P to get: 0 = 130 - 0.50Q. Now, solving for Q, we get 130 = 0.50Q, which simplifies to Q = 130/0.50 = 260.
This video is a life saver. Neither the textbook nor professor for my econ class would explain how to find the cs and ps but this video explained it super well 🙌🏽
Thanks for the videos Professor, you have really helped me understand stuff for my upcoming Microeconomics exam! One quick note: On the DWL calculation, the base of the DWL triangle is 110-40, not 110-90. So, the DWL turns out to be 70x8/2=280$. Other than that, great and informative vid as always!
Thank you for a very thorough and understandable explanation. I have my exams tomorrow, and neither the text book nor the teacher found it worth mentioning how you find the point on the price axis that you need to calculate producer's surplus!
Hello!, how do you explain if the monopoly is efficient or inefficient using this graph as an example? Btw, super great video.. it is what i am looking for!! Thank you so much
The efficient level of output occurs where the marginal cost curve intersects the demand curve. At this intersection, the good's price will equal marginal cost or p = mc. The monopolist's output is inefficient because it produces less than the efficient level of output, charging a price that exceeds marginal cosr.
If MC was just 10 and no 2q was there..what would u have done to find out the area of traingle for producer surplus...plz reply i have my exam in next 4 hours.
I think there is a mistake in ascertaining the MR function above...since the TR function is 130q-5q². The derivative of 130q will be 130 and the derivative of 5q² becomes 10q so the MR function becomes 130-10q over there and the profit maximization quantity is 10 units this way
Dear Professor, there is a mistake for the derivation of marginal revenue the answer gotten ought to be 130-10q not 130-q... I guess that should be an oversight! Thank you. But the fact is i understand all the procedures. Kudos
In this video's first example, I use a constant MC and solve for the deadweight loss. The CS (area of triangle) = 0.5(800 - 480)60 and PS (is an area of rectangle with constant MC) = (480 - 160)40. ua-cam.com/video/7Wo4rZl81OM/v-deo.html
Thanks for your time. But what i was looking at was in getting the MR by getting the derivative of TR= 130q-5q2 , why is = 130-q instead of 130-10q since the last q is squared.
Hii can you please tell me how to do the following question? For a monopolistic firm, law of demand is p=50-x^2 and MC+1+x^2. Determine the consumer surplus at the price which the monopolist would like to fix?
I'm sorry but wouldn't the derivative of TR with respect to q be 130-10q instead of 1330-q? You simply eliminate the 5 and don't consider that q was raised to the power of 2
This was 4 months ago so I assume you either got the answer or don't care anymore, but it was .5q, not 5q. Therefore raising .5 to the power of 2 gave 1q.
If you have a total cost function, you will need to take the derivative of it to get MC. If your example assumes MC = 0, set your MR equation equal to 0 and then solve for Q...you will find that the profit maximizing price and quantity will be at the midpoint of the demand curve.
Hey i have a little question.... In the task i have to solve, my MC = -5 + 2 q how can I calculate the deadway loss now? I probably can't start with a negative :) Maybe someone knows the answer
it's the last day of 2024 and I still have an exam to go :') Glad I found this video, I'll ace my exam this afternoon! Thank you so much and I wish everyone a happy new year
thank you so much- i was about to cry 9 minutes ago, but now i think everything will be ok :)
Really same here also...😃😃😃
Same
😂😂Economics
Dear Professor,
This video is a gift for all who want to learn monopoly profit maximization, you did it in an easy and understandable way, now i can face my exam with ease.
Thanks a lot :), keep doing such good work.
To find where the demand curve crosses the x-axis, set P = 0 in the demand equation and solve for Q. For example, if P = 130 - 0.50Q, plug 0 in for P to get: 0 = 130 - 0.50Q. Now, solving for Q, we get 130 = 0.50Q, which simplifies to Q = 130/0.50 = 260.
Thank you so much. Your videos are short and straight to the point.
This video is a life saver. Neither the textbook nor professor for my econ class would explain how to find the cs and ps but this video explained it super well 🙌🏽
Thanks for the videos Professor, you have really helped me understand stuff for my upcoming Microeconomics exam! One quick note: On the DWL calculation, the base of the DWL triangle is 110-40, not 110-90. So, the DWL turns out to be 70x8/2=280$. Other than that, great and informative vid as always!
Mate, this is great I spend 4 hours looking how to use MC to find price and you are the first one that made understand it, cheers to you ☺ .
Thank you so much for such a clear and concise video. You've saved hours of frustration trying to learn from textbooks that offer no explanation
Thank you very much. Your videos are very helpful especially before exams. You should have 1 million views.
Thank you for a very thorough and understandable explanation. I have my exams tomorrow, and neither the text book nor the teacher found it worth mentioning how you find the point on the price axis that you need to calculate producer's surplus!
your video is better than my professor’s lecture😂 thank you
Oh...ur vdos are such a Life savior...😂😂👍...
Thank you!
My man you are a great human
when we derivate the TR the resualt of MR have error w/c means hand writting error i think 130-10Q
I thought the same too
I think you have messed the marginal revenue function , the slope of MR should be double the slope of demand function p=130+2q. hence the mr=130+10q
Yes exactly!!!!!
He is not using 5, he is using 0.5, but he type it as ".5" (point five).
Thank you so much Sir, amazing video, I hope you have a great day
Who else is watching this while taking a final #Zoomuniversity
Incredible video
Thank you!
When you differentiate the TR i think we should get 130-10q
he said that it is 0.5 not 5 so it will be 130-q instead of 130-10q
Hello!, how do you explain if the monopoly is efficient or inefficient using this graph as an example?
Btw, super great video.. it is what i am looking for!! Thank you so much
The efficient level of output occurs where the marginal cost curve intersects the demand curve. At this intersection, the good's price will equal marginal cost or p = mc. The monopolist's output is inefficient because it produces less than the efficient level of output, charging a price that exceeds marginal cosr.
where did you get MR=130-q, ?but it would be MR=130-10q
Exactly
That was a great video my man helped me a tonn!!
TYSM you saved me!
If MC was just 10 and no 2q was there..what would u have done to find out the area of traingle for producer surplus...plz reply i have my exam in next 4 hours.
ua-cam.com/video/7Wo4rZl81OM/v-deo.html
(6:42) when you were calculating producer surplus, where did you get the 20 from?
Algoods, I figured it out.
@@aselamaryvosarogo3671 how
Thank you very much
You are welcome!
do check the DWL part ?
this video is so clear, thank you for offering it
Thank you very much, your explaination is much more easier than my teacher
I think there is a mistake in ascertaining the MR function above...since the TR function is 130q-5q². The derivative of 130q will be 130 and the derivative of 5q² becomes 10q so the MR function becomes 130-10q over there and the profit maximization quantity is 10 units this way
Oh now I got it
Yes .
that's 0.5q² not 5q²
Thankyou
U rock dude
Awesome explaination
Thanks professor. But how differentiation of 5Qsquare equals Q???
its .5q squared not 5q
Really helpful
Thank you!
Dear Professor, there is a mistake for the derivation of marginal revenue the answer gotten ought to be 130-10q not 130-q... I guess that should be an oversight! Thank you. But the fact is i understand all the procedures. Kudos
The inverse demand is P = 130 - 0.5q. The decimal point in front of the 5 is hard to see in the video.
@@EconomicsinManyLessons Ohh Okay, Now I understand how the answer was derived. Thank you.
5q2 derived is 10q, why did he only put q?
it was 0.5 by 2=1
thanks so much really helped
hmm what if the MC is a constant? where is the producer surplus?
How can u use right angle triangle's formula in finding Deadweight loss???
www.mathsisfun.com/algebra/trig-area-triangle-without-right-angle.html
So clear and precise. Thank you very much!
THANK YOU
sorry but why MR crosses the x-axis at 130
1:24 *MR equation is 130-10q*
P = 130 - 0.5q; there is a decimal point in front of the 5, so MR = 130 - q.
life saver, best ever
Is it wrong when -0,5q^2/q= -q? Is it = -0,5q
what would happen if MC was only 2q without the +10??? someone please helpppp
shouldnt the deadweight loss be .5(16)(8) * 2 because it is an equilateral triangle????????!??!?!?!?!?
If the mc is constant. Then¿
See here: ua-cam.com/video/JC_YUji3Hio/v-deo.html
sorry i am just wondering why the area of square --> PS: 20 x 40?
i think it will be (40-0) x (110-40)?
That says 90, not 40, so it's (110-90) (40-0)
Not square, its rectangle
perfectly explained, thank you
a godsend
what if the MC is a constant number?
In this video's first example, I use a constant MC and solve for the deadweight loss. The CS (area of triangle) = 0.5(800 - 480)60 and PS (is an area of rectangle with constant MC) = (480 - 160)40.
ua-cam.com/video/7Wo4rZl81OM/v-deo.html
Thanks a lot.. I have already figured out for what i was looking for..
How do you find the value for 260 where the demand curve crosses the x axis?
Set the inverse price function = to zero and solve for q.
Given p=130+.5q. let p=0 then 0=130+.5q by this q= 260
nice vid, thanks a lot
thank u 😭😭😭
i want to know how to find the loss of consumer surplus, but, i can't find it. is it deadweight loss is a loss of consumer surplus?
Thanks very much. Huge help. You explained it well.
5:18 Producer Surplus
how do you find 20 deadweight loss... (1/2)x(20)x(8)
yes sir how
110-90 = 20
thanks
Thanks helped heaps
how did you get MR...isn't supposed to be: 130 -10q
The inverse demand is P = 130 - 0.50Q...there is a one half in front of Q, not 5.
@@EconomicsinManyLessons thank you...I miss read the question...I took the .5 as 5
Several videos left me confused. Not yours. (:
The derivative of the TC seems to be 130-10q .
LETI VICTOR EYISSA P = 130 - 0.5q, TR = 130q - 0.5q^2, MR = 130 - q.
Thanks for your time.
But what i was looking at was in getting the MR by getting the derivative of TR= 130q-5q2 , why is = 130-q instead of 130-10q since the last q is squared.
LETI VICTOR EYISSA There is a 1/2 (notice the decimal point in front of the five) in front of the q, so 2 x 0.5 = 2 x 1/2 = 1.
Yes...same question here!. It's derivative should be 130-10Q
Oh now am clear ..it's 0.5 Q not 5Q
Thank you very much! It helped me a lot!!!
Thanks alot!
Thank you, that was great!
How derivative of TR becomes 130-q but 130-10q i think
TR = 130Q - 0.5Q^2. There is a decimal point in front of the five.
Hii can you please tell me how to do the following question?
For a monopolistic firm, law of demand is p=50-x^2 and MC+1+x^2. Determine the consumer surplus at the price which the monopolist would like to fix?
Can consumer surplus, producer surplus and deadweight loss be calculated by definite integration?
Yes. I hope to make a video using definite integrals to calculate those things.
I'm sorry but wouldn't the derivative of TR with respect to q be 130-10q instead of 1330-q? You simply eliminate the 5 and don't consider that q was raised to the power of 2
This was 4 months ago so I assume you either got the answer or don't care anymore, but it was .5q, not 5q. Therefore raising .5 to the power of 2 gave 1q.
@@VestasCure .5 to the power of two calculates to 0.25
If MC is not given then what should we do ?
If you have a total cost function, you will need to take the derivative of it to get MC. If your example assumes MC = 0, set your MR equation equal to 0 and then solve for Q...you will find that the profit maximizing price and quantity will be at the midpoint of the demand curve.
@@EconomicsinManyLessons thanks for responding.
you have made a mistake in your calculations in 2:21 MR should be MR=130-10q so q =10 and p=80
its 0.5q sqaured not 5
How did u get the 260
P = 130 - 0.5Q. Set P = 0 and solve for Q.
0 = 130 -0.5Q
0.5Q = 130
Q = 130/0.5= 260
Mr will be 130 - 5q after differtiating w .r.t to q
perfect vedio
life saver
thanks
Hey i have a little question.... In the task i have to solve, my MC = -5 + 2 q how can I calculate the deadway loss now? I probably can't start with a negative :)
Maybe someone knows the answer
MR will be
MR= 130-10q
My final is in 20 mins. 👍
Can any one give equations for consumer surplus, producer surplus, deadweigh loss wothout graph
that helped
U r doing differenation wrong
Its 0.5q squared lol not 5q squared
Intersucks xD
H
There are so many mistakes in here
1. Derivative of 5q^2 will be 10q
2. 5. 40 this guy has taken 20
Seriously! So many silly mistakes
The derivative in the video is for 0.5q^2, which is q. I don't understand your 2nd comment.
Thank you very much! It helped me a lot!!!
Thanks a lot!
Thanks helped heaps