Business, 25.03.2020 00:00 hnsanders00

Ketmoree, G St Wunderbar and Red 88 Noodle bar, all located within a short distance on G Street are the three players in this problem, and we will call them A, B and C respectively. Suppose that they would benet from security lights in the parking lot according to the following demand functions: PA = 65 − Q, PB = 45 − 3Q, PC = 20 − 2Q for A, B, and C, respectively. If security lights cost $60 each, in other words market supply is p = 60, what is the socially ecient quantity of lights? How many security lights will be purchased if each store buys its own lights?

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Ketmoree, G St Wunderbar and Red 88 Noodle bar, all located within a short distance on G Street are...

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