3. In a competitive market where all firms have cost function C(q) = 8q² + 128: (a) what is the long-run equilibrium quantity produced by each firm? (b) what is the long-run equilibrium market price? (Hint: Use the condition price = MC = AC, or find the output that minimises AC).)

3. In a competitive market where all firms have cost function C(q) = 8q² + 128: (a) what is the long-run equilibrium quantity produced by each firm? (b) what is the long-run equilibrium market price? (Hint: Use the condition price = MC = AC, or find the output that minimises AC).)

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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