Explain what is economic profit?

Q: After a campus pub increases its output from 3 kegs of beer per day to 11 kegs of beer per day, its…

A: (a) Marginal resource cost, (MRC)= $(550-135)/ (11-3) = 415/8 =$ 51.87

Q: Graph the total cost lines.b) Over what range of annual volume is each facility goingto have a…

A:

Q: A firm in a perfectly competitive industry is currently producing 1,400 units per day at a total…

A: A perfect market, also known as an atomistic market in economics, is defined by several idealising…

Q: What happens to the value of resources when losses are present? If a firm making losses goes out of…

A: The value of resources decreases when the firms make losses as it would mean that the revenue earned…

Q: what would be its profit-maximizing price? Would that be the efficient level of output? Why or why…

A: Profit maximization is done by subtracting total costs from total revenues and getting the first…

Q: Suppose a firm faces the following total costs, TC ( and suppose the firm can only produce integer…

A: Given information Q TC 0 6 1 11 2 15 3 18 4 20 5 22 6 25 7 29 8 36 9 45 10…

Q: HW#4 (Costs of Production, Competitive Markets) 16. Short-run supply and long-run equilibrium…

A: A market is a place where the buyers and the sellers interact with each other and the exchange of…

Q: What is the marginal net benefit of producing the twentieth unit? No. units Total Total produced…

A: Marginal net benefit refers to the additional in the net benefit. Here the marginal net benefit of…

Q: What must an entrepreneur do to earn a profit? How do theactions of firms earning profits inuence…

A: Protecting one's hard work through patents and copyright acquisition is one of the most significant…

Q: Refer to Table 13-1. What is the marginal cost of producing the first widget? a. $0 b. $1.00 c.…

A: The above table is filled by using the given formulas: Total cost(TC)=FC+VCVariable…

Q: Consider the details of 3 firms. If the price of the product is Rs.48, find the output that has to…

A: Total cost = Total fixed cost + Total variable cost Total revenue = Price * Quantity

Q: Calculate the economic losses for Firm 1 if they decide not to produce -$_ 用目 Firm 2 Firm 1 Output =…

A: Here, given information about firm 1 is: Output: 10 Average fixed cost: $1 Average variable cost:…

Q: Thank you so much for your help. If you can help me I will give a thumbs up! :) [LOOK AT ECO IMAGE…

A: b.) At a product price of $41.00  (ii) If it is preferable to produce, what will be the…

Q: Assuming that the CD manufacturing business  is a perfectly competitive industry, explain why his…

A: Perfect competition, according to economic theory, occurs when all companies sell identical items,…

Q: Some producers do not stop their production when they face loss in their production. Why?

A: Shut-down decision signifies a short-run decision taken where a firm decides whether to operate or…

Q: Suppose the current market price for bar stools is $25 each. My friend René's profit-maximizing…

A: Profit is maximised at a level where marginal cost is equal to market price.

Q: Demonstrate how the allocation of resources across industries affects economic profit and economic…

A: Economic profit If the firm is able to sell at a price that is above ATC, it implies a firm is able…

Q: Suppose that, because of an increase in world demand, the price of the fish from this fishery rises…

A: i) An increase in the world price of fish due to the rise in the demand for fish leads to an…

Q: Convey how the marginal revenue productivity of a resource relates to a firm’s demand for that…

A: In factor market, firms produce goods and services by hiring labour and capital. But in the short…

Q: V. Consider a perfectly competitive nonrenewable natural resource industry for which the marginal…

A: Nonrenewable natural resources are those resources which are not replenished quickly with the using…

Q: A firm in a perfectly competitive industry is currently producing 1,400 units per day at a total…

A: "According to the guidelines, solution is provided to the first three sub-parts:" a) "Average total…

Q: 2- Use the information in the graph to find the values for the following costs at an output level of…

A: Hi! Thanks for the question but as per the guidelines we answer up to three subparts. Kindly repost…

Q: Assume that the following marginal costs exist in catfish production:  Quantity produced (units per…

A: Hi Student, thanks for posting the question. As per the guideline, we are providing answer for the…

Q: TC=100+20q+q2 Mc=20+2q a) Is this firm operating in the short or long run? How do you know? b) If…

A: Note : Since the question has multiple sub parts , the first three sub parts will be solved at a…

Q: Σ 市 T F. apter 12 Saved Help Assume that the most efficient production technology available for…

A: "Since you have posted a question with multiple subparts, we will solve the first three subparts for…

Q: Consider the competitive market for titanium. Assume that, regardless of how many firms are in the…

A: Since all the firms are identical this is a perfectly competitive market. In this market, the supply…

Q: What are the short-run and long-run costs of the production of Walmar

A: There are various costs incurred by a firm during its production process and even in the pre and…

Q: what are the inefficiencies of an imperfect competition ? what are the benefits of having a…

A: Imperfect competition is that market structure which does not include  Perfect competition. It…

Q: A firm in a purely competitive industry is currently producing 1,200 units per day at a total cost…

A: The current output of firm= 1200 units per day The current total cost for 1200 output = $700 If the…

Q: What happens when a competitive industry begins to suffer losses because the demand for its output…

A: Companies can only generate short-term profits or losses in a totally competitive market. Because an…

Q: Identify this firm's profit-maximizing rate of output? how many frisbees are being sold? how much…

A: The profit maximizing level of output is obtained at the intersection of the marginal cost and the…

Q: Firm A Firm B Firm C Price where output is equal to zero (R) 2000 1500 60 Profit maximising price…

A:

Q: The minimum feasible long-run average cost for firms in a perfectly competitive industry is $40 per-…

A: A perfectly competitive firm produces at P=MC=LRAC in long run.  MC intersects LRAC at its minimum…

Q: (i) Will this firm produce in the short run?    (Click to select)   No   Yes         (ii) If it is…

A: “Hey, since there are multiple sub part questions posted, we will answer the first three subpart…

Q: How would you calculate the marginal cost of your firm's output? (think of a single product, not an…

A: Marginal cost can be understood as the additional cost incurred by the firm to produce an additional…

Q: Which returns to scale will an efficient firm choose? What market structure has no loss in long run?…

A: The efficient scale would be the firm's choice of the inputs and output proportion which would…

Q: Explain manufacturing firms should use demand leading instead of demand trailing capacity strategy.

A: A lead limit technique (lead request procedure) is a proactive methodology that adds or takes away…

Q: Suppose that the monthly market demand schedule for Frisbees is:   Price $8 $7 $6 $5 $4 $3…

A: Since you have posted a question with multiple sub-parts, we will solve first three subparts for…

Q: You are the sole producer of a novel polymer that has the potential to transform a number of other…

A: Given  Demand curve P=400-10Q     .... (1) Where Q is in thousands of tons produced per year.…

Q: a. At a product price of $57.00 (i) Will this firm produce in the short run? (Click to select) V…

A: "Since you have asked a question with multiple parts, we will answer only first three parts for you,…

Q: Discuss in detail the short and long run laws of production.

A: Short run law of production says that when more and more units of variable inputs are added to fixed…

Q: Consider the competitive market for titanium. Assume that, regardless of how many firms are in the…

A: Answer: The supply curve of a perfectly competitive firm: the short-run supply curve of a perfectly…

Q: A competitive fishing industry consists of five independently owned and operated fishing boats…

A: Answer a. The completed table is as follows:  Average Catch = Total Catch / Number of Catchs…

Q: Use the data in the table to find the marginal cost of producing the 6th units of output. Q P TC TR…

A: Marginal cost refers to the additional expenses incurred when one more unit of output is produced by…

Q: Despondent over the Red Sox's terrible season, Prof. Gruber decides to quit his day job and start a…

A: We are going to calculate Marginal cost and Average cost curve to answer this question. Note: The…