Assume a competitive firm faces a market price of $120, and a cost curve of: C= 0.0049° + 25q + 750. Marginal cost (MC) equals MC = 0.012g + 25. (Properly format your expression using the tools in the palette. Hover over tools to see keyboard shortcuts. E.g, a superscript can be created with the ^ character.) If a specific tax of $7 per unit is passed, what would be the new equilibrium output level? It would be units. (Round your answer to two decimal places.)

Assume a competitive firm faces a market price of $120, and a cost curve of: C= 0.0049° + 25q + 750. Marginal cost (MC) equals MC = 0.012g + 25. (Properly format your expression using the tools in the palette. Hover over tools to see keyboard shortcuts. E.g, a superscript can be created with the ^ character.) If a specific tax of $7 per unit is passed, what would be the new equilibrium output level? It would be units. (Round your answer to two decimal places.)

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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