Question

10. Assume that the relationship between the growth of a fish population and the population size can be expressed as g-4P-01P2, where g is the growth in tons and P is the size of population (in thousands of tons). Given a price of $100/ton, the marginal benefit of smaller population sizes (and hence smaller catches) can be computed as: MB 20P-400. a. Compute the population size that is compatible with the maximum sustainable yield. p. If the marginal cost of additional catches (expressed in terms of population size) is MC- 2(160-P) Vhat is the population size, which is most compatible with the efficient sustainable yield?