Question: I need some help please :) Suppose that it costs $5 to produce a low-quality electric stapler and $30 to produce a high-quality stapler. Consumers
I need some help please :)

Suppose that it costs $5 to produce a low-quality electric stapler and $30 to produce a high-quality stapler. Consumers cannot distinguish between good staplers and poor staplers when they make their purchases. There are four rms producing staplers. Consumers value staplers at their cost of production and are risk neutral. Will any of the four rms be able to produce high quality staplers without making losses? Suppose each rm produces 100 smplers. If one rm makes high-quality staplers, then each rm that produces low-quality staplers will earn prot of $ and the rm that makes the high-quality staplers will earn $ . (Enter your responses as whole numbers and include a minus sign if necessary.) Arm will not have an incentive to produce high-quality staplers. Now assume consumers are willing to pay $100 for highquality staplers. If one rm makes highquality staplers, then each rm that produces lowquality staplers will earn prot of $ and the rm that makes the highquality staplers will earn $ . (Enter your responses as whole numbers and include a minus sign if necessary.) Arm will not have have an incentive to produce high-quality staplers
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