Question: I need help with these economic assessments. Please help with it as ASAP, will rate The market for Jane's Pies is uniformly distributed equally in
I need help with these economic assessments. Please help with it as ASAP, will rate
The market for Jane's Pies is uniformly distributed equally in every direction from her bakery,
as in the Lsch spatial demand model. At each point, the demand for pies is given by:
Qd P
a Consumers face a combined financial and temporal cost of $ per mile traveled to get
to the pie store. Identify the equation of the Losch spatial demand curve for jane's pies if
she charges $ and graph these relationships using the graph picture used in lecture
and found on p of Capello You must label each axis and the intercept values on each
graph.
b Find the new equation for the Lsch spatial demand curve if Jane increases prices to $
but travel costs are reduced to per mile. Illustrate that change on the original graphs
in a different color ink.
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