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Title: In the long-run equilibrium of a competitive market, the market supply and demand are: Supply: P = ... Post by: corie on Oct 24, 2017 In the long-run equilibrium of a competitive market, the market supply and demand are:
Supply: P = 30 + 0.50Q Demand: P = 100 - 1.5Q, where P is dollars per unit and Q is rate of production and sales in hundreds of units per day. A typical firm in this market has a marginal cost of production expressed as: MC = 3.0 + 15q. a. Determine the market equilibrium rate of sales and price. b. Determine the rate of sales by the typical firm. c. Determine the economic rent that the typical firm enjoys. (Hint: Note that the marginal cost function is linear.) d. If an output tax is imposed on ONE firm's output such that the ONE firm has a new marginal cost (including the tax) of: MCt = 5 + 15q, what will the firm's new rate of production be after the tax is imposed? How does this new production rate compare with the pre-tax rate? Is it as expected? Explain. Would the effect have been the same if the tax had been imposed on all firms equally? Explain. Title: Re: In the long-run equilibrium of a competitive market, the market supply and demand are: Supply: P ... Post by: boransal on Oct 24, 2017 Content hidden
Title: Re: In the long-run equilibrium of a competitive market, the market supply and demand are: Supply: P ... Post by: Вера Ларионова on Oct 9, 2019 спасибо
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