A competitive market consists of 2,000 identical companies. The short-term production cost function of each one of them is equal to C(q)=4q²+10q+100. a) Find the company's supply curve. b) Find the industry supply curve. c) If the market demand function is Qº=50.000-1.000P, find the price and the volume of profits of the representative company in this market. Analyse the meaning of the company's profit volume.

A competitive market consists of 2,000 identical companies. The short-term production cost function of each one of them is equal to C(q)=4q²+10q+100. a) Find the company's supply curve. b) Find the industry supply curve. c) If the market demand function is Qº=50.000-1.000P, find the price and the volume of profits of the representative company in this market. Analyse the meaning of the company's profit volume.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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