A firm is a price-taker in the market for quesadillas. Their cost function is C(q) = 100 + 2g +q'. The current price is 10. Is the market in long-run equilibrium? O a. Yes, and new firms will enter. O b. Yes, but the price will drop. O c. No, and new firms will enter. O d. No, and some existing firms will exit. Clear my choice A person consumes good X and Y. X is an inferior good but not a Giffen good. Which of the following can be true? O a. Exp, = -0.8, €x.p, = 0.9, Ex.1 = -0.1, Sx = 0.5, ey1 = 2.1 O b. Ex.p, = -1.2, ex.p, = 0.2, Ex,1 = 1, Sx = 0.2, y1 = 2.1 O C. Ex.p. = 0.2, Ex.Py = 0.2, €x.1 = -0.5, sx = 0.2, ey,I = 1 O d. Ex.p, = -0.4, ex.p, = 0.2, Ex.I = 1, Sx 0.2, ey,1 = 1 Clear my choice

A firm is a price-taker in the market for quesadillas. Their cost function is C(q) = 100 + 2g +q'. The current price is 10. Is the market in long-run equilibrium? O a. Yes, and new firms will enter. O b. Yes, but the price will drop. O c. No, and new firms will enter. O d. No, and some existing firms will exit. Clear my choice A person consumes good X and Y. X is an inferior good but not a Giffen good. Which of the following can be true? O a. Exp, = -0.8, €x.p, = 0.9, Ex.1 = -0.1, Sx = 0.5, ey1 = 2.1 O b. Ex.p, = -1.2, ex.p, = 0.2, Ex,1 = 1, Sx = 0.2, y1 = 2.1 O C. Ex.p. = 0.2, Ex.Py = 0.2, €x.1 = -0.5, sx = 0.2, ey,I = 1 O d. Ex.p, = -0.4, ex.p, = 0.2, Ex.I = 1, Sx 0.2, ey,1 = 1 Clear my choice

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

See similar textbooks

Similar questions

Assume that the market for house cleaning is perfectly competitive. If a single firm cleans 22 apartments per week, and there are 99 identical firms in the market, how many markets are getting cleaned weekly? O a less than 2178 because demand slopes down. O b.4356 Oc 2614 O d. 2178 O e. it is impossible to say anything about the market output based on information about single firms.
Equilibrium Market in the Short Run A competitive industry currently consists of 20 producers, all ofwhom operate with the identical short-run total cost curve STC(Q)= 16 + Q2. The market demand curve for bolts is D(P) = 110 − P. Allof each firm’s $16 fixed cost is sunk. What is a firm’s short-run supply curve? What is the short-runmarket supply curve? What are the short-run equilibrium priceand quantity in this industry?
Pls solve all questions
Firms X and firm Y are maximizing profits. At their respective profit-maximizing price, Firm X's own-price elasticity is -2 and Firm Y's own-price elasticity is -3. Which statement is correct? O The share of markup in the optimal price (Lerner index) for firm X is equal to 50% O Firm X is a price taker O Everything else held constant, if firm Y increases its price it will lead to an increase in its revenue O Firm X's consumers are more price sensitive than firm Y's consumers O Firm Y can charge a higher markup than firm X
3
In a perfectly competitive market, each firm has a long-run total cost given by LTC = 100Q - 10Q² + 1/2Q³. What is the market's long-run equilibrium price? 00 O 50 O25 150 4
Consider a perfectly competitive market with identical firms. Each firm faces following average variable cost (AVC) function: 1 AVC(Q) = (Q-40)2 + 25 40 If each firm's marginal revenue is equal to its marginal cost when (Q,P) = (40,20), what should happen to long-run prices? O A. Rise B. Stay the same C. Fall This happens because firms A. are earning positive short-run profit B. are breaking even O C. are earning short-run economic loss O O O
Suppose the costs of a perfectly competitive firm are given by TC = 30 +3Q+0.5Q2 and MC= 3+Q. The supply equation of the firm is, therefore, Q = -3 + P. If the market price is $13, what is the total profit of the firm? O $20 $130 -$110 O $10
Profit is the incentive that drives our market economy. Firms make production, pricing, andhiring decisions based on their quest for profit. But what happens when a firm discoversthat it can make dramatically higher profits by stopping production altogether? In December2000, due to wild swings in the market for electricity, Kaiser Aluminium faced just such adecision.Kaiser Aluminium had contracted with Bonneville power for all of its electricity needs andfound itself in the unique position of being an electricity consumer and, potentially, anelectricity reseller. By December 2000, Kaiser faced a difficult decision of continuing itscurrent aluminium production and profit levels, or closing the plant to dramatically increaseits profit by simply reselling its electricity.When making production decisions, firms must consider both their costs and revenues. Oneimportant concern for many firms is utility costs. In 1996, Kaiser Aluminium Corporation inSpokane, Washington, entered into a…
Looking to see how to resolve
answer the following questions please
urgent