Giovanni owns a food truck in Los Angeles. His total cost function is given byC(q) = 8 + q + 2q². He sells Italian paninis at the market price p (in dollars). Find Giovanni's long-run supply function for paninis.Od" (p) = P² if p≥9, 0ifp<9P-22Od" (p) = ¹ if p≥7, 0ifp<7p-12Ogr (p)=2-1 if p≥9, 0ifp<94Od" (p) = P¹if p≥9, 0ifp<9qrp-14

The long-run supply refers to the quantity a firm can supply when all costs of production are…

Answered: Find Giovanni's long-run supply…

Find Giovanni's long-run supply function for paninis. Od" (p) = 2 if p≥9, 0ifp<9 2 O q¹r (p) = º-¹ if p≥7, 0ifp<7 2 Od" (p) = 2-1 if p≥9, 0ifp<9 4 p-1 Od" (p) = P¹ if p≥9, 0ifp<9 4

Exploring Economics

8th Edition

ISBN:9781544336329

Author:Robert L. Sexton

Publisher:Robert L. Sexton

Chapter11: The Firm: Production And Costs

Section: Chapter Questions

Problem 18P

See similar textbooks

Related questions

Q: 2. A refrigerator manufacturer is planning capacity expansions. They have determined that their…

A: Capacity Cost are in the form : F(y) = kya For above example , a = 0.62 & k = 0.0107 Demand is…

Q: Suppose you are an analyst for the Coca-Cola Company. An individuals' inverse demand for Coca-Cola…

A: The process of adjusting production or operational activities to achieve the highest possible profit…

Q: The following is a Cobb-Douglas production function: Q = 1.75K0.6L0.5. What is correct here? *…

A: Since the sum of coefficient of L and K is higher than 1 (= 0.5 + 0.6 = 1.1), there are increasing…

Q: You are given the profit function: Profit = 100Q – Q2 – 100 – 0.5Q2 a. In words, how would you find…

A: The objective of any firm undertaking production in the market is to maximize profit. Firms earn…

Q: Road Runner Co is a Pakistani manufacturer making Bicycles. It exports to two markets,Bangladesh and…

A: Total profit = Total revenue - Total cost Revenue = Price * Quantity

Q: If demand function is given by P = 40 - 2Q then what is the procedure to get marginal revnue ?

A: Given the demand function: Demand function, P = 40 - 2Q

Q: A manufacturer knows that: His TR is given by Revenue = 23Q – Q2 /4 His total cost of…

A: The revenue would result in the total production of the output by the firm times the price which…

Q: . An electricity producer has a constant marginal cost of production equal to $40 per…

A: Hi! thanks for the question but as per the guidelines we answer up to three sub-parts at one time.…

Q: Road Runner Co is a Pakistani manufacturer making Bicycles. It exports to two markets,Bangladesh and…

A: Given : Bangladesh : Q1 = 12 – P1 P1 = 12 – Q1 Sri Lanka : Q2 = 8 – P2 P2 = 8 – Q2 C = 5 + 2…

Q: For each price in the following table, calculate the firm's optimal quantity of units to produce,…

A: MC = AVC , is shut down point for firm as the firm will not benefit from continuing the production.…

Q: You are the manager of a firm and you are required to optimize the Cobb- Douglas function given the…

A: Lagrangian is : q + λ ( M - PK*K - PL*L) where, q is the output function M is the income PK is the…

Q: 8. siuppose that the manager of a firm operating in a competitive market has estimated the firm's…

A: (a) Average Variable cost (AVC) is multiplied by the quantity (Q) to get variable cost (VC). Total…

Q: MY NOTES The function gives the neekly profe, in thousand dollars, that an arine makes on its fights…

A: Rate of Change (f'):The rate of change, denoted as "f'." represents how one quantity (in this case,…

Q: Tim Marlow, the owner of The Clock Works, wanted to know how many clocks he must sell in order to…

A: Fixed costs are the costs that are incurred by the producers that do not change with the increase or…

Q: A firm has a linear demand function for its product. When the price of the product is Sh.220, the…

A: The demand function shows the relationship between price and quantity demanded. There is a negative…

Q: Let the demand function for a product be given by the function D(q) = -1.65q + 270, where q is the…

A: The positive difference between the revenue earned from selling goods, providing services, or…

Q: Company is effectively able to price discriminate in the two markets. What will be the total…

A: STEP 1: In monopoly market structure, the monopolist being the sole producer of the product has…

Q: Let's say jacky has a demand function for a product made in Ney york city given that the function…

A: A demand function is a mathematical equation that expresses the relationship between the quantity of…

Q: you are an accountant for a manufacterer of radios. the demand function for the tablets is p= 40-4x2…

A: Given:- Demand function(P)=40-4x2 Cost function(C)=15x Please find the images attached for detailed…

Q: ***If the demand function is: P+ 2Q = 50 %3D The fixed cost is 30, the variable cost per unit is: Q…

A: The demand function is P + 2Q = 50 i.e. P = 50 - 2Q The variable cost per unit is Q + 3; i.e. the…

Q: Please select all that are true regarding Minimum Efficient Scale (MES): if the quantity…

A: The minimal level of output or production at which a business can generate goods or services at the…

Q: 4. For production functions i) q = K0.25L0.25, %3D ii) q = K0.5Lº.5. iii) q = KL a) Assume w= $20…

A: *Hi there as you have posted multiple sub parts we will only solve first three following our…

Q: A company produces a certain good for which the (inverse) demand function is given by p = 15 - 2q,…

A: Profit function: A profit function is formulated to determine the net gain of a firm from the…

Q: (b) You are the CEO for a lightweight compasses manufacturer. The demand function for the…

A: Given: p=40-4q2 Cost to make compass=$15

Q: 1/3 x 1/3. If the input prices are w₁ and w₂ what is x2 Assume y = f(x1, x2) = x1 profit maximizing…

A: The production function is a concept that explains the relationship between the physical output and…

Q: F

A: Profit is an income being distributed to the owner in a production process of profitable…

Q: Suppose that the profit from the sale of Kisses and Kreams is given by the following, where x is the…

A: Profit function is given as :- P(x,y) = 10x + 6.6y - 0.001x2 - 0.025y2

Q: Given the input-output matrix below, find the output matrix if final demand changes to 500 for…

A: Demand is the quantity of consumers who are willing and ready to buy products at various prices…

Question

Giovanni owns a food truck in Los Angeles. His total cost function is given by
C(q) = 8 + q + 2q². He sells Italian paninis at the market price p (in dollars).

Find Giovanni's long-run supply function for paninis.
Od" (p) = P² if p≥9, 0ifp<9
P-2
2
Od" (p) = ¹ if p≥7, 0ifp<7
p-1
2
Ogr (p)
=
2-1 if p≥9, 0ifp<9
4
Od" (p) = P¹if p≥9, 0ifp<9
qr
p-1
4

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

This is a popular solution!

SEE SOLUTION Check out a sample Q&A here

Step 1: Concepts

Step 2

Step 3

Step 4

Step 5

Step 6

Trending now

This is a popular solution!

Step by step

Solved in 6 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, economics and related others by exploring similar questions and additional content below.

Similar questions

The market for high-quality caviar is dependent on the weather. If the weather is good, there are many fancy parties and caviar sells for 300 SEK per kg. In bad weather it sells for only 200 SEK per kg. Caviar produced one week will not keep until the next week, i.e. it has to be sold and consumed the same week it is produced. A small caviar producer has a cost function given by C=5q2 - 50q + 1000 where q is the weekly caviar production. Production decisions must be made before the weather (and hence the price of caviar) is known, but it is known that good weather and bad weather each occur with a probability of 0.5. a) How much caviar should the firm produce per week if it wishes to maximise its expected profit? b) Suppose the owner of the firm has a utility function of the form U(π)=√π where π is weekly profits. What is the expected utility associated with the strategy in (a)? c) Suggest a weekly production level that would give the owner higher expected utility than the…
The market for high-quality matsutake mushrooms is dependent on the weather. If the weather is good, one kilogram matsutake mushroom can be sold for $30. In bad weather it sells for only $20 per kilogram. Matsutake mushrooms produced one week will not be kept until the next week, A small matsutake mushrooms producer has a cost function given by C = 0.5q^2 + 5q + 100 where q is weekly matsutake mushrooms production. Production decisions must be made before the weather (and the price of matsutake mushrooms) is known, but it is known that good weather and bad weather each occur with a probability of O.5. How much matsutake mushrooms should this firm produce if it wishes to maximize the expected value of its profits?
The unit price of a product is given by P(X) = 200 - 0,01X and the total cost function C(x) = 50X + 20.000 How many items should be sold to maximize profit?
The daily cost to manufacture generic trinkets for gullible tourists is given by the cost function C(x) = -0.001x2 + 0.7x + 590 dollars, where x is the number of trinkets. (a) Find C'(x). C'(x) = As x increases, the marginal cost does which of the following? increases decreases increases then decreases decreases then increases (b) Find C(x). C(x) = As x increases, the average cost does which of the following? increases decreases increases then decreases decreases then increases (c) Find the following values. C'(100) = C(100) The marginal cost is less than the average cost when x = 100. Submit Answer O O
Teddy J is a manufacturer of dish washing liquid . If his monthly demand function for 750ml size is q = 4000 − 250p and his total cost function is C(q) = 500 + 0.2q.How many 750ml bottles of dishwashing liquid should TeddyJ produce per month if he wishes to maximize his profits?
The hourly operating cost of a plane which seats up to 405 passengers is estimated to be $5,328. If an airline charges each passenger a fare of $120 per hour of flight, find the hourly profit P it earns operating the plane as a function of the number of passengers x. [HINT: The cost function is constant (variable cost = 0).] P(x) = Specify the domain. (Enter your answer using interval notation.) What is the least number of passengers the plane must carry to make a profit? (Round your answer up to the nearest whole number.) passengers
To produce x units of t-shirts costs C(x) = 7.50x + 1200. The revenue is R(x) = 16x. a) Find the break-even point b) How many t-shirts needs to be produced and sold in order to make a profit of $500?
Suppose that the cost of producing q appliances is C(q) = 500 – 4q + q? and the demand function is given by p = 14 – 2 q. The quantity that minimizes the average cost function and the corresponding price are g= 22.36 and p= -30.72 a) Why the corresponding price is negative? explain The maximum profit would be -473 b) Why the maximum profit is minus? explain what happens
The demand function for a firm is p = 320 – 3.2x, and the cost function is C(x) = 100 + 80x – 1.6x2 Required (i) Determine the profit function. (ii) Determine the output and price for maximum profit and the maximum profit. Show that it is a maximum point.
Suppose a firm's cost function is C (q) = 2q2 + 8. The output q that minimizes average total cost is: (Hint: At the minimum of the ATC, ATC is equal to MC) a)4 b) 2 c) 0 d) 8
Your college newspaper, The Collegiate Investigator, sells for 90¢ per copy. The cost of producing x copies of an edition is given by C(x) = 60 + 0.10x + 0.001x² dollars. (a) Calculate the marginal profit function, in dollars per copy. P'(x) = (b) Compute the marginal profit, if you have produced and sold 500 copies of the latest edition. When you produce and sell 500 copies, the marginal profit is dollars per copy. Interpret the results: The approximate loss from the production and sale of the 501st сорy is dollars.
Jack's car repair factory has the Total Cost function: TC(Q)=3.30³-540 + 8 where Q stands for the number of hours of repairs. If the market price for car repair is $100 per hour, what are the optimal hours of repairs that Jack will do (round to 2 decimal places)?