Suppose that there are 90 firms in a market, each with the following cost function: C(q) = 65+4q2. Suppose the market demand is D(p) = 1,260-39p How much profit does each firm make in the short-run equilibrium?

Suppose that there are 90 firms in a market, each with the following cost function: C(q) = 65+4q2. Suppose the market demand is D(p) = 1,260-39p How much profit does each firm make in the short-run equilibrium?

Microeconomics

13th Edition

ISBN:9781337617406

Author:Roger A. Arnold

Publisher:Roger A. Arnold

Chapter9: Perfect Competition

Section: Chapter Questions

Problem 1QP

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Question

Suppose that there are 90 firms in a market, each with the following cost function:
C(q) = 65+4q2.
Suppose the market demand is
D(p) = 1,260 - 39p
How much profit does each firm make in the short-run equilibrium?
Your Answer:

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