Assume that the market for Wheat is perfectly competitive in a country. Each firm operating in the Wheat market has the following cost curves: ATC(Q) = 1000/Q + 200 − 10Q + Q2/3, MC(Q) = 200 − 20Q + Q2, AV C(Q) = 200 − 10Q + Q2/3. The minimums of the cost curves are attained at the following quantity levels: MC attains its minimum at Q = 10 and MC(10) = 100, AVC attains its minimum at Q = 15 and AV C(15) = 125, and ATC attains its minimum at Q ≈ 19 (≈ denotes approximate equality) and ATC(19) ≈ 183. Based on the above information, answer the following questions. (a) What is the price level P ̄ for Wheat, such that any firm operating in this market chooses shut down below P ̄? Explain. (b) Assume the price of Wheat is 200. Calculate the quantity supplied by each firm operating in this market. Show your workings. (c) What is the equilibrium price in this market in the long run. Explain.

The cost curves below are for a firm competing in a perfectly competitive industry. If the market price is $5, in the short - run a profit - maximizing firm would: Produce and earn a negative economic profit Not produce (as it leads to a negative profit) Produce and earn a normal profit Produce and earn a positive economic profit The cost curves below are for a firm competing in a perfectly competitive industry. If the market price is $5, in the short-run a profit-maximizing firm would: Price and cost 16 15 14 13 12 11 10 9 8 6 3 MO O Produce and earn a negative economic profit O Not produce (as it leads to a negative profit) O Produce and earn a normal profit O Produce and earn a positive economic profit ATC AVC 6 bis & Quantity

The market for drones is perfectly competitive. Assume for simplicity that fractions of everything, including firms, is possible. We have identical firms, each with a Total Cost curve of TC=376+91q+q^2 and Marginal Cost curve MC=[b]+2q. Market demand is Q=695-2P. What is the Average Total Cost if the firm produces 37 units?

A firm faces the following average revenue (demand) curve: P = 100 - 0.01Q where Q is weekly production and P is price, measured in cents per unit. The firm's cost function is given by C = 50Q + 30,000. Assuming the firm maximizes profits, the firm's level of production is price in cents is and total profit per week in dollars is (please put your answer for price, quantity and profit in numerical values without any dollar sign, comma or decimal place). If the government decides to levy a tax of 10 cents per unit on this product, the new level of production is the price received by the monopolists after tax in cents is and total profit per week in dollars is the price facing the consumer after the imposition of the tax in cents is (please put your answer for price, quantity and profit in numerical values without any dollar sign, comma or decimal place).

and the cost function of the second firm is , where are all positive parameters. The demand function in this industry is where α C(q₁) = A * qu C(92) = Bq₂ (A, B, a, ß) Q = Dp (D,y)

A competitive firm has the following cost function C(q) = 50+ 3q² What is the slope of the firm's short run inverse supply function? Answer Below

What is the lowest price where the firm makes positive profit?