Question: a. Suppose that two ice cream vendors are located on a circular beach that goes all the way around a lake. How will they locate

a. Suppose that two ice cream vendors are located on a circular beach that goes all the way around a lake. How will they locate themselves in equilibrium?
b. Suppose instead that there are three ice cream vendors on the same circular beach. How will they locate themselves in equilibrium?

Step by Step Solution

★★★★★

3.52 Rating (165 Votes )

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock

a Any location at all is an equilibrium Regardless of how the vendors are l... View full answer

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Document Format (1 attachment)

231-B-E-P-T (258).docx

120 KBs Word File

Students Have Also Explored These Related Economics Questions!

Suppose there are three ice cream vendors on the beach depicted in Exhibit. Ice Cream Vendors on a Beach How will they locate themselves inequilibrium? B

Suppose there are four ice cream vendors on the beach depicted in Exhibit. Ice Cream Vendors on a Beach How will they locate themselves in equilibrium? What can you say if there are five vendors?...

There are two ice cream vendors, Ben and Jerry, on a crowded strip of beach. There are five permissible locations for ice cream vendors to locate, cleverly named positions 1, 2, 3, 4, and 5. Position...

3.7 Alienation and the Median-Voter Rule. Consider the example of the ice cream vendors on the beach. Suppose people are unwilling to walk more than 1/4 mile for an ice cream cone. As a starting...

Recall the Hotelling model of competition on a linear beach from Example 15.5. Suppose for simplicity that ice cream stands can locate only at the two to analyze an entry-deterring strategy involving...

By MARK@ (Ruska, Markevichus, Naniev, Grachev) Emerging russian ice-cream market is good area for different producers as it has great potential 1. Currently Russian ice-cream market is the 4th...

In the big super markets, you can pay in the frozen section 35 to 40,000 dollars just to get one item on the shelf in 600 to 800 stores. [ Music ] I had a whole other career. I was a television news...

help get the answers.. its a complete question 1. (10 points) Annie and David are painting their apartment. At the paint store, David says he prefers Canary Yellow to Bumblebee Yellow, Lime Yellow,...

PartII. Institutions The great conflict between capitalism and communism is over. Communism has collapsed; capitalism has won. Or so we think. But if you take a closer look at the structure of these...

Managing Scope Changes Case Study Scope changes on a project can occur regardless of how well the project is planned or executed. Scope changes can be the result of something that was omitted during...

(i) What's the future value of an annuity of $1,500 per year, for 19 years, with first payment at the end of 1 year from now, given that the interest rate if 0.75% per year? (j) Youre buying your...

Toth Company had the following assets and liabilities on the dates indicated. Toth began business on January 1, 2014, with an investment of $100,000 from stockholders. Instructions From an analysis...

Voe are the production nanager at a mid - slaed manufacturing company that aims to bood productivity growth by enhancing boeh Inforation and elliciency. To semain competitive, you're evaluating new...

The voltages vR(t), vL(t), and vC(t) in the circuit shown can be drawn as phasors in a phasor diagram. Show that vR(t) + vL(t) + vC(t) = vS(t).

A 2017 Pew Research poll found that 28% of cell phone users do not use a screen lock for security on their smartphones. If 500 smartphone users were surveyed, how many do not use a screen lock on...

Describe three alternative profit measures that can be used to measure divisional performance. Which measures are preferable for (a) Measuring divisional managerial performance (b) Measuring...

Let T be a minimum spanning tree of a graph G = (V, E), and let Vbe a subset of V. Let Tbe the subgraph of T induced by V, and let G be the subgraph of G induced by V. Show that if T is connected,...

A two-stage compressor in a gas turbine brings atmospheric air at 100 kPa, 17C to 500 kPa, then cools it in an intercooler to 27C at constant P. The second stage brings the air to 2500 kPa. Assume...

Because of misrepresentation in the prospectus, an expert will be criminally liable. (i) Yes (ii) No

Traffic at a certain intersection is currently 2000 cars per day. A consultant has told the city that traffic is expected to grow at a continuous rate of 5%per year for the next 4 years.

A local bank will lend a customer $1000 on a 2-year car loan as follows: Money to pay for car$1000 Two years' interest at 7%: 2 x 0.07 x 1000140 24 monthly payments = 1140/24 = $47.50$1140 The first...

A local lending institution advertises the "51-50 Club." A person may borrow $2000 and repay $51 for the next 50 months, beginning 30 days after receiving the money. Compute the nominal annual...

5-3 In a typical loan amortization schedule: the amount of interest paid each period does not remain constant. the amount of each payment does not remain constant. the amount of interest paid each...

R-STUDIO Please download real GDP (GDP (constant 2010 US$) ) and population between 1970-2010 from https://data.worldbank.org/ for the US, Europe Union, Japan, and China. 1. Please calculate real GDP...

How do you compute longhand Approximationg Binomial Probabilities In Exercises 19-26, determine whether you can use a normal distribution to approximate the binomial distribution. If you can, use the...