Consider a firm operating in a competitive market. The firm is producing 50 units of output, has an average total cost of production equal to 7 dirhams, and is earning 350 dirhams economic profit in the short run. What is the current market price?.
Q: The federal government is considering three sites in the National Wildlife Preserve for mineral…
A: Comparing the effectiveness of various cash flow diagrams is made easier with the use of…
Q: Consider the following indirect utility function: V(p, 1) = II ₁(ail Jai Pi where 1 ai = 1, and ai…
A: Given,The indirect utility function -Where,
Q: Assume a barter economy that consists of only three standardized goods, (X, Y, Z). The relative…
A: The barter economy consists of the goods X, Y and Z. The unique relative prices describes the…
Q: grapn possibilities frontier (PPF) for Rubberland. Rubberland only makes two products, rubber band…
A: The PPF is also referred to as the production possibility curve (PPC). It is a key economic concept…
Q: Graph #1 Graph #2 Inflation Rate (%) 9 8 7 5 4 Inflation Rate (%) 3 2 1 0 0 8 7 6 2 1 0 0 2 4…
A: This is the model that postulates an opposite/negative relationship between unemployment and…
Q: 2. SPENCE'S LABOR SIGNALING. Suppose there are 2 types of workers, high productivity (H) and…
A: It is given that there are two types of workers, high-productivity (H) and low-productivity (L). The…
Q: P2 PI O A decrease in input prices O An improvement in technology 02 O An increase in input prices…
A: The issue is to recognize the most probable reason for the shift in the equilibrium price from $1 to…
Q: A justification for job training programs is that they improve worker productivity. Suppose that you…
A: 1. The ceteris paribus assumption in this context is that all other factors affecting worker…
Q: Which government institution can create the most money? What tools does the Fed have to regulate…
A: A government institution is an organization or entity established and operated by a government to…
Q: In a statement of cash flows, a company investing in short-term financial investments and in fixed…
A: The issue includes understanding the effect of an organization's investments in momentary financial…
Q: $400 320 Assume a price floor of $ 320 has been implemented. What is the quantity of lawn mowers…
A: The government regulates the change in price of goods or products in the markets by imposing floor…
Q: Question 4: Assertion: Capital expenditure in a government budget refers to spending on long-term…
A: A government budget refers to a gauge of the government's receipts and outlays for a particular time…
Q: 11) Which of the following is NOT a difficulty with using a piece-rate contract? A) measuring…
A: “Since you have posted multiple questions, we will provide the solution only to the first question…
Q: Assume the firm has historical emissions of 10 units of carbon and the government regulator gives…
A: Given,the historical emission of the firm is 10 units of carbon but the government only permits 7…
Q: What are the characteristics of Western ethical ideologies
A: Ethical ideologies refer to the moral principles or beliefs that an individual or a group has about…
Q: Private Goods B Public Goods E F Assume point D represents the optimal mix of output. The market…
A: A production potential frontier, or PPF, is a graphical depiction of the highest possible output…
Q: 1. What is the definition of quantity demanded? What is the definition of quantity supplied? (a) At…
A: A market is a broad concept that refers to any arrangement or mechanism that allows buyers and…
Q: For each scenario, determine whether the resulting changes will affect the supply curve, the demand…
A: The desire of an individual to buy a product according to the willingness and ability to purchase a…
Q: (Graph: Consumption) Based on the information provided in the graph, at an income level of $300,…
A: Marginal Propensity to Consume (MPC): The MPC measures the change in consumption resulting from a…
Q: Firms Markets for Goods and Services Markets for Factors of Production Based on this model,…
A: The resources including money, goods or services move from one agent to another. Each producer uses…
Q: 31) The FDIC must take steps to close down banks whose equity capital is less than ________ of…
A: “Since you have posted multiple questions, we will provide the solution only to the first question…
Q: Exercise 6.1 Suppose that in an economy with no government the aggregate expenditure function is: AE…
A: Aggregate Expenditure is the sum of all the expenditures that take place within a country over a…
Q: How much would you pay for a perpetual bond that pays an annual coupon of $200 per year and yields…
A: The objective of the question is to calculate the price of a perpetual bond, the current yield, and…
Q: Graph Map - I need to show a graph for each D S P Q Graphing On notebook paper, please graph the…
A: Market dynamics are economic events that disrupt the supply-demand equilibrium, resulting in price…
Q: $400 320 Assume a price floor of $ 320 has been implemented. What is the quantity of lawn mowers…
A: The government imposes minimum and maximum price to protect the consumer and producers in a rise in…
Q: Consider the market for rental housing in Yourtown. The demand and supply schedules for rental…
A: The market for rental housing is given asPrice Quantity demandedQuantity…
Q: Suppose that in a week the price of Greek yogurt increases from $1.25 to $1.50 per container. At the…
A: The demand(DD) curve illustrates the correlation between the price(P) of a service or product and…
Q: 1. The primary purpose of a central bank is to control a nation’s:___________. 2. The Fed’s…
A: The macroeconomic terrain encompasses the comprehensive economic situation of a nation or locality,…
Q: Interest Rate 12 M³ M UND M²
A: Money demand is the amount of money that is demanded by people for the purpose of speculation and…
Q: e Substitution Effect and Income Effect
A: The substitution effect measures the trade in the amount demanded of an excellent as a consequence…
Q: Calculate a Standard & Poor's Index for days 1 through 5 using a beginning index value of 10. Do not…
A: In economics one of the method used in the statistics Index it is use to track the various data in…
Q: A B 6 Variable Cells 7 8 9 10 10 C Cell Name $B$4 Acres allotted Soybean $C$4 Acres allotted Corn 11…
A: In this question we are given with the excel spreadsheet containing a linear programming problem or…
Q: 4. Questionable business practices according to antitrust agencies Complete the following table by…
A: Tying pricing is a form of price discrimination that occurs when the price of one good is tied to…
Q: 130 Refer to the data for a nondiscriminating monopolist. At its profit-maximizing output, this…
A: We know that the monopolist profit maximization output condition is marginal revenue is equal to…
Q: Use the data in the table to answer the question. Pineapples Coconuts Price 2 5 2016 Nominal GDP…
A: Nominal GDP, or Gross Domestic product, refers to the total market value of all final goods and…
Q: The market demand for vaccine XYZ is given by P = 36−Q and the supply conditions are P = 20. There…
A: Environmental economics delves into managing environmental quality and natural resources amidst…
Q: Pls answer fast Dont take time
A: Here is your required answer please give me helpful rating. Thank you!Explanation:Solution:- Demand…
Q: Why did the average GDP growth rate declined in Western Europe during the period of 1913- 1950…
A: The pace of an economy's long-term growth or contraction is referred to by this idea. The change in…
Q: Public Budget Cycle Develop a four- to five-page paper in which you analyze the Public Budget…
A: One of the largest U.S. government agencies is the Department of Defense (DoD), which is in charge…
Q: Apply the monetarist model of exchange rate and assume that a = 0.5 and 3 = 0.6. Explain how the…
A: Exchange rate:It is the rate at which currencies are exchanged for another currency. It affects the…
Q: The table below shows national income and imports. The level of exports is fixed at $350. All…
A: The exchange of commodities/products, services, money, and ideas across international borders is…
Q: a. If you have a choice between depositing your $100 into an account that earns 7% simple interest…
A: Compound Interest Rate:Compound interest is the interest calculated on the initial principal and…
Q: The marginal propensity to consume out of permanent income equals 0.9 and the marginal propensity to…
A: Economic analysis is the process of evaluating data and patterns to better understand economic…
Q: a) state the maximization problem solved by each type of agent and derive the fist order and second…
A: In economics, intertemporal decision-making refers to a decision-making approach that involves…
Q: Suppose Kittyville's full-employment GDP is $600 billion, and the current equilibrium GDP is $400…
A: Full employment GDP is the potential output that an economy will produce with efficient utilization…
Q: Using the data in the table below, calculate the CPI and the inflation rate in each year using 2021…
A: The CPI examines the average change in prices(P) paid by consumers for services and items over time.…
Q: Under rent control, bribery is a potential mechanism to
A: The objective of the question is to understand how bribery can function as a mechanism in a…
Q: Food 100 75 50 B 100 E F D 150 200 Clothes Explain the above production possibility model. Be sure…
A: The production possibility frontier is defined as the various combination goods or commodities at…
Q: Consider the following situation. Specify what happens to the official unemployment rate (UR) and…
A: The unemployment rate is a key economic indicator that measures the proportion of the labor force…
Q: Based on 1. the government imposes a 2-dollar tax on each 2. unit sale of x. (a) What is the new…
A: The utility function represents relationship between the utility and commodities consumed.
Pls don't use
Consider a firm operating in a competitive market. The firm is producing 50 units of output, has an average total cost of production equal to 7 dirhams, and is earning 350 dirhams economic profit in the short run. What is the current market price?.
Step by step
Solved in 3 steps
- What two lines on a cost curve diagram intersect at the shutdown point?A computer company produces affordable, easy-to-use home computer systems and has fixed costs of 250. The marginal cost of producing computers is 700 for the first computer, 250 for the second, 300 for the third, 350 for the fourth, 430 for the fifth, 450 for the sixth, and 500 for the seventh. Create a table that shows the companys output, total cost, marginal cost, average cost, variable cost, and average variable cost. At what price is the zero-profit point? At what price is the shutdown point? If the company sells the computers for 500, is it making a profit or a loss? How big is the profit or loss? Sketch a graph with AC, MC, and AVG curves to illustrate your answer and show the profit or loss. If the firm sells the computers for 300, is it making a profit or a loss? How big is the profit or loss? Sketch a graph with AC, MC, and AVG curves to illustrate your answer and show the profit or loss.What two lines on a cost curve diagram intersect at the zero-profit point?
- Don't use chatgpt or any AI A profit-maximising firm in a competitive market is currently producing 1,000 units of output. It has average revenue of $50, average total cost of $40 and fixed cost of $10,000. a) What is its profit? b) What is its marginal cost? c) What is its average variable cost? Is the efficient scale of the firm more than, less than or exactly 1,000 units?JYour business has the capacity to produce up to 5 units/week. The table & graph below show average cost (AC) for different weekly production levels. Your objective is to maximize profit each week. Average Cost 22 20 AC 18 1 20 14 2 15 12 3 12 10 1 2 4 4 13 Quantity 15 Your product sells in the market for $21/unit, and you can sell as many units at that price as you can bring to market. You know from your economics training that deciding how much to produce should rely on marginal concepts like marginal cost (MC). So, based on the AC table above, create a table that shows the MC of each unit. (Assume that there are no fixed costs, so total costs are zero if Q=0.) Based on MC for each unit, determine the profit-maximizing quantity to produce and sell. BRIEFLY explain your answer. (Your answer needs to be based on MC and being able to sell each unit for $21.) AC ($/unit)The graph shows the short-run cost curves of a toy producer. The market has 1,000 identical toy producers. The market price of a toy is $21. In the short run, the firm produces toys a week. 24- 21- 18- 15- 12- 9- 0 500 1000 1500 2000 MC ATC AVC 2500
- Next question ice and cost (dolars per par) The graph shows the long-run situation facing a producer of running shoes. In the market for running shoes, all the firms face a similar demand curve and have similar cost curves 120- Draw a vertical arrow that shows the firm's markup at the profi-maximizing quantity. Label R. MC t004 What is a fim's markup? /ATC A fem'u markup is the amount by which exceeds OA price; average total cost 60 OB. price, marginal cost OC. average total cost marginal revenue OD. average total cost marginal cost 20- Describe the market of a firm in perfect competition MR O 25 7 100 1is e ths 200 zis Quantity (pain of shoes per week) A firm in perfect competition has OA a markup similar to a firm in monopolistic competition OB. no markup > Draw only the objects specfied in the question Oc. a negative markup O D. a markkup similar to a monopolyUsing the graph below, calculate the firm's profits at the profit maximizing output 196 182 168 154 140 126 112 98 84 70 56 42 28 14 23 46 69 92 115 138 161 184 207 230 253 276 299 322 Quantity -P -- MR MC AC -10 100 250 PriceV See Hint Suppose that Juan sells burritos. The total cost of production, based on the number of burritos produced, is shown in the following table. Number of burritos Total cost ($) 1. 8) 2. 10 3) 13 4. 18 25 34 7. 45 Suppose that the price is $6. Assuming profit maximization, how many burritos will Juan sell? asopdne
- 11. Explain the condition of equilibrium of a firm based on marginal cost and marginalrevenue. Need details explanation and make sure that no plagiarised answerthe table below shows the output cost and revenue situation of a firm. Study the table and asnwer the questions that fllows Q TVC TC MC P TR MR 0 0 150 0 200 0 - 1 110 C 110 175 175 175 2 170 320 G 150 I L 3 A D 46 135 405 105 4 250 E 34 120 J M 5 B 445 H 105 525 45 360 F 65 90 K N (a) what is the fixed cost of the firm? Explain your answer (b) determine the values from A-M by showing all workings employed (c) At what quantity and price is the firm in equilibrium position and in what market is the firm oeperating? explain your answerE E on The diagram illustrates the demand curve, isoprofit curves and the marginal cost curve of MQ2020, a luxury car manufactured by MQ Motors. Assume that MQ Motors currently chooses to operate at Point E. Which statement correctly describes the market of MQ2020? 10,000 Price, marginal cost (5) Pt-$5,440 Po B 0 190 20 Q=32 D Qo Quantity of cars, Q Marginal cost Isoprofit curve $150,000 Isoprofit curve 563,360 Demand curve 120 Select one: O a. Total surplus is not being maximised. Ob. Deadweight loss is the loss incurred by MQ Motors for not selling more cars. O All possible gains from trade are being achieved as MQ Motors operates at its profit-maximising output and price. Od. The amount of consumer surplus is the area ADP. O e. Pareto efficient allocation is currently being achieved.