A firm operates in three markets: Nur-Sultan, Karaganda, and Almaty. Each market can be described by the demand equations: q = 200, 000 – 1.5P q = 200, 000 – 4P a6 = 200, 000 – 6P The firm has the following cost structure: Total Cost: TC(q) = 8000 + 4300q + 300q? Marginal Cost: MC(q) = 4300 + 600q. Suppose that there are 9400 identical firms in the market. As usual, in all your calculations and answers, use a precision of 4 decimals.

A firm operates in three markets: Nur-Sultan, Karaganda, and Almaty. Each market can be described by the demand equations: q = 200, 000 – 1.5P q = 200, 000 – 4P a6 = 200, 000 – 6P The firm has the following cost structure: Total Cost: TC(q) = 8000 + 4300q + 300q? Marginal Cost: MC(q) = 4300 + 600q. Suppose that there are 9400 identical firms in the market. As usual, in all your calculations and answers, use a precision of 4 decimals.

Microeconomic Theory

12th Edition

ISBN:9781337517942

Author:NICHOLSON

Publisher:NICHOLSON

Chapter11: Profit Maximization

Section: Chapter Questions

Problem 11.4P

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