4. Milk, a consumer staple, is an example of a homogeneous good that many firms produce....

Question

Question

4. Milk, a consumer staple, is an example of a homogeneous good that many firms produce. The total cost function is estimated

business economics

Add a comment Improve this question Transcribed image text

Answer 1

Answer #1

Add a comment

Answer 2

Similar Homework Help Questions

4. Milk, a consumer staple, is an example of a homogeneous good that many firms produce....

4. Milk, a consumer staple, is an example of a homogeneous good that many firms produce. The total cost function is estimated for a typical dairy farmer as: C(q) = 32+2a+3 (a) (12 points) Calculate the price below which the firm will shut down in the short run (b) (12 points) Let the industry consist of 6 identical firms and let the market demand be Q=5-P. calculate the short-run equilibrium quantity in the market. (Round to two decimal places and...
4. Milk, a consumer staple, is an example of a homogeneous good that many firms produce....

4. Milk, a consumer staple, is an example of a homogeneous good that many firms produce. The total cost function is estimated for a typical dairy farmer as: 1 C(q) = 542 + 2q +3 (a) (12 points) Calculate the price below which the firm will shut down in the short run (b) (12 points) Let the industry consist of 6 identical firms and let the market demand be Q = 5-p, calculate the short-run equilibrium quantity in the market....
Continuing with the example of Canadian lime manufacturing, suppose that the firms are identical and face a variabl...

Continuing with the example of Canadian lime manufacturing, suppose that the firms are identical and face a variable cost curve: VC = 409 +0.59" and have fixed costs of $50. 1. Calculate the price below which the firm will shut down in the short run 2. Let the industry consist of 12 firms and let the market demand be Q = 360 - p, calculate the short-run equilibrium price in the market. 3. Using the market price in the previous...

Suppose there is a monopolistically competitive market with n identical firms, such that each firm produces the same quantity, q. Further, the market is in the monopolistically competitive long-run e...

Suppose there is a monopolistically competitive market with n identical firms, such that each firm produces the same quantity, q. Further, the market is in the monopolistically competitive long-run equilibrium. You are given the following: Inverse market demand: P 10-Q Total market output: Qnxq Marginal revenue: MR 10n+ 1)xq Total cost: C(q)-5+q Marginal cost: MC 2xq In long-run equilibrium, each firm earns zero economic profit. In long-run equilibrium, the number of firms, n, is and each firm produces units) of...
Question No. 3 (25pts.) The market for wheat consists of 500 identical firms, each with a...

Question No. 3 (25pts.) The market for wheat consists of 500 identical firms, each with a total cost function given as: TC = 90,000 + 0.0000 1Q2 where Q is measured in bushels per year. The market demand curve for wheat is: Q = 90,000,000-20,000,OOOP where P is the price per bushel. A. Determine the short-run equilibrium price and quantity that would exist in the market. Calculate the profit maximizing quantity for the individual firm. Calculate the firm's short-run profit...
Question 2 The tortilla industry commissions you to examine the outlook for firms selling tortillas. There...

Question 2 The tortilla industry commissions you to examine the outlook for firms selling tortillas. There are currently twenty, identical price-taking firms in this perfectly competitive market. Each firm has a short-run cost function of STC(Q) = 9+ 2Q + . When the price is P, the total quantity demanded is given by Q(P) = 100 – 2P . (a) Assuming all fixed costs are sunk, find the short-run supply curve for a typical firm. (b) In the short run,...

9.1. DanielArcher's Midland farm produces com. His cost function (where total cost is measured in cents)...

9.1. DanielArcher's Midland farm produces com. His cost function (where total cost is measured in cents) is calculated to be + 100g + 1000 c(4) 480 where q is the output level (measured in bushels). The market price of com is 220 cents per bushel which Midland farm, as a competitive pro- ducer, takes as given. How many bushels will Daniel produce? What is Midland farm's shutdown price? 9.2. In Takeout Town, there are 45 identical pizza delivery firms, each...
Short-run Equilibrium: Bumper sticker firms produce bumper stickers in a perfectly competitive market. Each identical firm...

Short-run Equilibrium: Bumper sticker firms produce bumper stickers in a perfectly competitive market. Each identical firm has a short-run total cost function equal to: STC (Q) = 3 + 2q + 2Q2. Suppose that there are 100 firms, and the market demand is D(P) = 100 - 5P where D(P) is the quantity consumed in the market when the market price is P. 1. What is the short-run equilibrium price? 2. How much does each firm produce? 3. Are they...
1. The bolt-making industry has 20 identical firms, each one has a short-run total cost function...

1. The bolt-making industry has 20 identical firms, each one has a short-run total cost function TC(q) 16 + q2 (a) What is the short-run supply of each firm? (b) The market demand is QD(p) = 110-p. What is the short-run equilibrium price and quantity supplied by each firm? Calculate each firm's profit. (c) Suppose that the number of firms increases to 25. What is the short-run equilibrium price and quantity supplied by each firm? Calculate each firm's profit

2. A competitive industry has 12 identical firms, each one has a total variable cost function...

2. A competitive industry has 12 identical firms, each one has a total variable cost function TVC(a) 402 and a marginal cost function MC(a) 40+q, the firm's fixed cost.s are entirely non-sunk (that is, must be paid only if q >0) and equal to 50. (a) Calculate the price below which the firm will produce q 0. (b) The market demand is QD(p) 360-2p. What is the short-run equilibrium price and quantity supplied by each firm? Calculate each firm's proft...

4. Milk, a consumer staple, is an example of a homogeneous good that many firms produce....

Homework Answers