There are 10 identical firms in a perfectly competitive market. Each firm has a total cost function of TC = 50 + q, where q is a firm's output level. The market demand function is Qp = 200 – 5P, where Qp is the total market demand, and P is the price per unit of output. The market's producer surplus equals %3D - S. $2000. $1000. $100. $50. O None of the above.
There are 10 identical firms in a perfectly competitive market. Each firm has a total cost function of TC = 50 + q, where q is a firm's output level. The market demand function is Qp = 200 – 5P, where Qp is the total market demand, and P is the price per unit of output. The market's producer surplus equals %3D - S. $2000. $1000. $100. $50. O None of the above.
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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![There are 10 identical firms in a perfectly competitive market. Each firm has a total cost
function of TC = 50 + q², where q is a firm's output level. The market demand function is
Qp = 200 - 5P, where Qp is the total market demand, and P is the price per unit of output.
%3D
%3D
The market's producer surplus equals
O $2000.
$1000.
$100.
$50.
None of the above.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fb3524451-fcef-48e4-a310-673d9d07023c%2F02c8c72d-8c58-49de-9811-4d9766e3e99a%2F0gsrqds_processed.jpeg&w=3840&q=75)
Transcribed Image Text:There are 10 identical firms in a perfectly competitive market. Each firm has a total cost
function of TC = 50 + q², where q is a firm's output level. The market demand function is
Qp = 200 - 5P, where Qp is the total market demand, and P is the price per unit of output.
%3D
%3D
The market's producer surplus equals
O $2000.
$1000.
$100.
$50.
None of the above.
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