The market supply curve for this industry is OA. Q = P-200 for P > 200 and Q = 0 for P ≤200. B. Q 100P-200 for P> 2 and Q = 0 for P ≤2. OC. Q = 100P-200 for P > 200 and Q = 0 for P <200. OD. Q = 100P-2 for P> 2 and Q = 0 for P ≤2. If the market price is $9, the firms in the industry will supply a total of 700 units. (Enter your response as an integer.) Total producer surplus is $. (Enter your response as an integer.)

The market supply curve for this industry is OA. Q = P-200 for P > 200 and Q = 0 for P ≤200. B. Q 100P-200 for P> 2 and Q = 0 for P ≤2. OC. Q = 100P-200 for P > 200 and Q = 0 for P <200. OD. Q = 100P-2 for P> 2 and Q = 0 for P ≤2. If the market price is $9, the firms in the industry will supply a total of 700 units. (Enter your response as an integer.) Total producer surplus is $. (Enter your response as an integer.)

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

7. Price and output in a competitive price-searcher market Consider a price-searching firm, Sean's Fire Engines, which sells fire engines in the fictional country of Pyrotania. Initially, Sean's produced eight fire engines but then decided to increase production to nine fire engines. The following graph shows the demand curve the firm faces. To sell the additional engine, Sean's must lower its price from $80,000 to $40,000 per engine. (Hint: Sean's Fire Engines gains revenue from the additional engine it sells, but it also loses revenue from the initial eight engines because it sells them all at the lower price.) On the following graph, use the purple rectangle (diamond symbols) to shade the area representing the revenue lost from the initial eight engines by selling at $40,000 rather than $80,000. Then use the green rectangle (triangle symbols) to shade the area representing the revenue gained from selling an additional engine at $40,000. PRICE (Thousands of dollars per fire engine)…
A mattress company operates in a perfectly-competitive environment. If the firm can increase its profits by increasing output, O price is greater than marginal cost. O price is less than marginal cost. O price is equal to marginal cost. losses are minimized.
Refer to Figure P. For any price in this market that exceeds ____, firms would be encouraged to enter the market. a)P₂. b)P₁. c)P₄. d)P₃.
Market Representative Firm MC АТС $8 AVC A $6 MR = P %3D D1 20,000 100 125 Quantity (Q) Output (Q) The diagram above depicts overall market supply and demand on the left, and the cost curves for a representative firm supplying in that market on the right. When the market reaches its Long Run Equilibrium, we should expect the firm to produce and the equilibrium quantity in the market to be 125; less than 20,000 125; more than 20,000 100; less than 20,000 O 100; more than 20,000 Price
MC АТС $25.00 AVC $19.50 -- $15.00 $12.50 - - 30 40 50 60 Output (Q) For the firm shown in the diagram above, its Long Run Supply Curve is its curve for any price greater than ATC; $19.50 MC; $12.50 AVC; $12.50 MC; $19.50
PA P3 P2 P1 Price 0 Multiple Choice O O P₁. 1 P2. MC Q₁ Q₂QQ4 Quantity ATC Refer to the accompanying diagram. This firm will earn only a normal profit if product price is Q5 AVC MR4 MR3 MR₂ MR1
s 1, 12 & 13 Assignment Saved Help Save & Exit Assume a purely competitive increasing-cost industry is in long-run equilibrium. If a decline in demand occurs, firms will Multiple Choice leave the industry, price will fall, and quantity produced will rise. enter the industry and price and quantity will both rise. leave the industry and price and quantity will both rise. leave the industry, price will fall, and quantity produced will fall.
$150 $145 $140 MC $135 $130 $125 $120 $115 ATC $110 $105 $100 $95 $90 $85 $80 AVC $75 $70 $65 $60 $55 $50 $45 $40 $35 $30 $25 0 1 2 3 5 6 Quantity Produced 7 8 9 10 11 The graph above shows the cost functions for a perfectly competitive profit maximizing firm. If the market price of the product is $70 per unit, the firm will produce units, will cover make an economic profit of dollars. dollars of its fixed cost, and will
Figure 14-6 Suppose a firm operating in a competitive market has the following cost curves: 212 2 P4 P3 BI Price Q1 Q2 exceeds P3. MC Q3 Q4 is greater than P1 but less than P3. O exceeds P2. is less than P1. ATC Refer to Figure 14-6. Firms will shut down in the short run if the market price AVC Quantity
Suppose the marginal revenue of a perfectly competitve firm is $10 and its marginal cost is $18 at its current level of production, then the firm should Question 8 options: a) increase output b) decrease output c) not enter the market d) none of the above