EBK FOUNDATIONS OF ECONOMICS
8th Edition
ISBN: 8220103632225
Author: PARKIN
Publisher: PEARSON
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Question
Chapter 16, Problem 3SPPA
To determine
To explain:
The comparison of equilibrium price and quantity with ES's price and quantity.
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Students have asked these similar questions
Paulina sells beef in a competitive market where the price is $8 per pound. Her total revenue and total costs are given in the table
below.
Quantity of Total revenue Total cost
beef (lb.)
0
1
2
3
4
($)
0
8
16
24
32
($)
4
8
13
19
27
Profit ($)
0
8
pounds
Marginal
revenue ($)
c. What is the profit-maximizing (or loss-minimizing) quantity?
Marginal Marginal
cost ($) profit ($)
a. Complete the table.
Instructions: Enter your answers as a whole number. If you are entering any negative numbers be sure to include a negative sign (-) in
front of those numbers.
b. At what quantity does marginal revenue equal marginal cost?
pounds
A
Elixir Spring's mineral water is unique and highly prized.
The firm's total fixed cost is $4,000 a day and its marginal cost is zero.
The table shows the market demand schedule for the firm's water.
Compare Elixir's profit-maximizing price with the marginal cost of producing the profit-maximizing output.
At the profit-maximizing price, is the demand for Elixir's water inelastic or elastic?
Elixir's profit-maximizing price
Elixir's marginal cost.
A. is greater than
B. is less than
C. equals
At the profit-maximizing price, the demand for Elixir's water is
A. inelastic
B. elastic
C. perfectly inelastic
D. unit elastic
E. perfectly elastic
Suppose that each firm in a competitive industry has the following costs:
Total Cost: TC = 50+ 1/2q²
Marginal Cost: MC = q
where 9 is an individual firm's quantity produced.
The market demand curve for this product is:
Demand D = 160 - 4P
where P is the price and is the total quantity of the good.
Each firm's fixed cost is $
What is each firm's variable cost?
50+ 1/1/19
19²
1
29
Chapter 16 Solutions
EBK FOUNDATIONS OF ECONOMICS
Ch. 16 - Prob. 1SPPACh. 16 - Prob. 2SPPACh. 16 - Prob. 3SPPACh. 16 - Prob. 4SPPACh. 16 - Prob. 5SPPACh. 16 - Prob. 6SPPACh. 16 - Prob. 7SPPACh. 16 - Prob. 8SPPACh. 16 - Prob. 9SPPACh. 16 - Prob. 10SPPA
Ch. 16 - Prob. 11SPPACh. 16 - Prob. 1IAPACh. 16 - Prob. 2IAPACh. 16 - Prob. 3IAPACh. 16 - Prob. 4IAPACh. 16 - Prob. 5IAPACh. 16 - Prob. 6IAPACh. 16 - Prob. 7IAPACh. 16 - Prob. 8IAPACh. 16 - Prob. 9IAPACh. 16 - Prob. 10IAPACh. 16 - Prob. 1MCQCh. 16 - Prob. 2MCQCh. 16 - Prob. 3MCQCh. 16 - Prob. 4MCQCh. 16 - Prob. 5MCQCh. 16 - Prob. 6MCQCh. 16 - Prob. 7MCQ
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