20. Suppose that the market for ice cream is perfectly competitive. All ice cream producers are identical and have long-run total cost functions given by TC(Q) = 40³-8Q² +100Q. The market demand curve is QD = 5,000-P. What is the long-run equilibrium quantity and price?
20. Suppose that the market for ice cream is perfectly competitive. All ice cream producers are identical and have long-run total cost functions given by TC(Q) = 40³-8Q² +100Q. The market demand curve is QD = 5,000-P. What is the long-run equilibrium quantity and price?
Microeconomics: Private and Public Choice (MindTap Course List)
16th Edition
ISBN:9781305506893
Author:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Publisher:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Chapter9: Price Takers And The Competitive Process
Section: Chapter Questions
Problem 5CQ
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![20. Suppose that the market for ice cream is perfectly competitive. All ice cream
producers are identical and have long-run total cost functions given by TC (Q) =
40³-8Q² +1000. The market demand curve is QP = 5,000 - P. What is the
long-run equilibrium quantity and price?](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F4133bd0a-a1cc-4c36-81e1-86761ac8ce40%2F67b44184-b2d6-4dc9-895f-35219a845680%2Ftqn6m0o_processed.jpeg&w=3840&q=75)
Transcribed Image Text:20. Suppose that the market for ice cream is perfectly competitive. All ice cream
producers are identical and have long-run total cost functions given by TC (Q) =
40³-8Q² +1000. The market demand curve is QP = 5,000 - P. What is the
long-run equilibrium quantity and price?
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