otal Cost Function (TC) for every firm in perfect competition is: C = 0.1 q2 + q + 10 Industry demand function is Q = 4,000 - 400p 1) Determine profit or loss for every firm if firms number is 100 2) Determine firms numbers to long run equilibrium
otal Cost Function (TC) for every firm in perfect competition is: C = 0.1 q2 + q + 10 Industry demand function is Q = 4,000 - 400p 1) Determine profit or loss for every firm if firms number is 100 2) Determine firms numbers to long run equilibrium
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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Total Cost Function (TC) for every firm in
Industry demand function is Q = 4,000 - 400p
1) Determine profit or loss for every firm if firms number is 100
2) Determine firms numbers to long run equilibrium
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Step 1: Determine the given information:
VIEWStep 2: Determine the industry supply equation:
VIEWStep 3: Determine the market equilibrium price:
VIEWStep 4: Determine the quantity supplied by each firm at market price:
VIEWStep 5: Determine long run equilibrium price:
VIEWStep 6: Determine the number of firm in long run:
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