I) Consider the market for a particular type of financial service. Assume 1) all firms are identical and 2) it is a perfectly competitive market. Further, assume the industry is a constant cost industry. Each firm’s total cost function is TC = 2q^3 – 30q^2 + 150q. (i) What is the long run equilibrium price and quantity for each firm? (ii) The industry demand function is Qd=10000-10p. How many firms are there in the industry in the long run? (iii) The demand has changed to Qd=6000-4p. How many firms are there in the industry now in the long run?

Q: There is an industry consisting of 12 firms, each with total cost function given by TC(q)…

A: *Hi there , as per our guidelines we are solving first three sub parts of the question . Kindly…

Q: 1. Consider two industries. Industry A has n = 3 identical firms, and each firm has cost function…

A: In a Cournot duopoly, each firm makes production decisions based on the assumption that its…

Q: Wakanda is a firm that solely supplies vibranium to Marley and Paradis. The demand function of the…

A: Production costs allude to the costs an organization causes from assembling an item or offering an…

Q: There is a competitive industry with an infinite number of potential firms. All firms have the same…

A: In the Long Run equilibrium price P*, the profits are zero, that is, P* = MC(q) =ATC(q) MC(q) =…

Q: The great expert Hand written solution is not allowed.

A: Step 1:

Q: If each of 100 firms in a competitive industry has the following Marginal Cost function (i.e., firm…

A: Given:Marginal Cost Function of the firm: P=10+100Qi

Q: Two firms produce a homogeneous product. Let p denote the product's price. The output level of firm…

A: Duopoly is an economic term that describes a market structure in which there are only two firms that…

Q: A price-taking firm in a competitive industry of a good that is continuously divisible (like sand)…

A: The profit maximization problem for a price-taking firm involves finding the quantity that maximizes…

Q: Consider a market where every firm and every potential entrant has the identical cost function C(q)…

A: C(q) = 3q3 − 6q2 + 6q.

Q: Wakanda is a firm that solely supplies vibranium to Marley and Paradis. The demand function of the…

A: Monopoly will produce the output where MR=M and charges the price for its product from the demand…

Q: Consider a competitive industry. All firmes are identical with Average Total Cost given by:…

A: In a perfectly competitive market, there are a large number of buyers and sellers who take the price…

Q: Assume a competitive firm faces a market price of $60, a cost curve of: and a marginal cost of: This…

A: The profit-maximizing output is the level of production at which a firm achieves its highest level…

Q: Suppose that the long-run total cost function for a typical producer is given by LRTC = 0.02q where…

A: I think all the options given are incorrect. When I solve it using the way it needs to be solved. We…

Q: The market demand for a type of good has been estimated as: P = 40 -0.25Q, where P is price ($) and…

A: The need for a specific product and who wants to buy it are described by market demand. How willing…

Q: In the gas industry, each firm chooses the output level to produce and price is determined by…

A: When the two firms are simultaneously choosing their output levels, we use Cornot duopoly model to…

Q: a competitive industry have identical cost functions c(y)=y2+ 25 for y> 0 and C(0) = 0. The demand…

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

Q: Suppose Firm X is a dominant firm in a market where the market demand is Q = 1200 -2p. Once Firm X…

A: A residual demand function means the demand faced by an individual firm (Firm X in given case) that…

Q: Suppose we have many firms each with an individual supply curve of g$= ½ P). Assume that firms have…

A: Producer surplus(PS) is the difference between the actual price received by producer  and the…

Q: Consider an industry in the U.S. facing aggregate (inverse) demand function: p(y) = 1050 – 5y…

A: Fixed cost: This cost does not change with a rise or fall in the number of goods or services…

Q: Assume a competitive industry is initially at its long-run equilibrium, given the inverse market…

A: The given question has not been written properly.

Q: The inverse demand for shampoo is P = 30 – 0.03Q, where P is the price per bottle in dollars and Q…

A: Step 1:Inverse demand refers to the relationship between the price of a good or service and the…

Q: If the market quantity demanded and quantity supplied functions are: QD = 187 - 4P Qs = 49 + 9P and…

A: Given:Qd = 187 - 4PQs = 49 + 9PMC = 2 + 3q

Q: In a market with a single price-making firm with total costc(y) = 2y, the industry demand is…

A: The single price-making firm is called a monopoly firm. The monopoly firm has the power to decide…

Q: of: MC = 80 a. Find the Cournot equilibrium quantities for each firm. What is the Cournot…

A: Demand curve shows the relationship between the price and quantity demand.Marginal cost refers to…

Q: The demand equation for handcrafted violins by a certain violin maker can be approximated by p=20-x…

A: Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: 1- Assume all firms operating in a competitive market have the following total cost function:< TC =…

A: Given The cost function of the typical firm: TC=2.5Q3-35.5Q2+210Q+320 Market demand function:…

Q: Yann's bakery operates in a perfectly competitive market where the prevailing price for a baguette…

A: The Profit maximizing condition in Perfect competition is where Marginal cost = Price = Marginal…

Q: You've researched and found that most firms in the market currently experience costs such that TC =…

A: a. Plugging the market equilibrium quantity into the firm total cost function results in huge costs…

Q: 6. Suppose that there are two identical firms in the silver mining industry. The cost curve of each…

A: Firms engages in QC (quantity competition) and PC(price competition) to raise their profits  .Firms…

Q: Suppose we have many firms each with an individual supply curve of q=%2 P). Assume that firms have a…

A: The difference between the actual price received by producer  and the least price producer receives…

Q: The market for good X consists of 1,000 identical firms, each with the total and marginal cost…

A: In short run, Price = MC. Firm's supply function is its MC function. In long run, new firms enter…

Q: C1: PERFECT COMPETITION Suppose we have many firms each with an individual supply curve of q³= ½P).…

A: Perfect competition is a market form where there are a large number of buyers and sellers who sell a…

Q: An industry of four firms has the industry supply curve Sn=4 = 1+0.5Q Each firm has fixed costs of…

A: Cost is the monetary value incurred in the process of production . There are various types of cost…

Q: a quasi-fixed cost of $5000 (that is COST = 0 if they exit but COSTS = 5000 + variable costs if they…

A: Given, Supply curve,                             qs = 12p Quasi fixed cost = $5000 Demand curve,…

Q: A firm supplies its product to a number of UK cities. Its overall cost function can be expressed as…

A: Total cost function of the firm is given as : TC = 40 q2 + 900 q…

Q: disregard the portion of the supply curve that corresponds to prices where there is no output since…

A: Demand, or the desire for a commodity, is defined as a person's willingness to buy a specific…

Q: There are 100 consumers on the market for product X. The individual demand function is the same and…

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

Q: onsider a firm's profit function, II(x) = R(2) -C(2), where R(x) is total revenue as a function of…

A: A Perfectly competitive firm is a firm that is a price taker in the market so the firm sells goods…

Q: The market demand for a type of good has been estimated as: P= 40 - 0.25Q, where Pis price ($) and Q…

A:

Q: nswer letter b only

A:

Q: Assume that all companies i in this market offer a homogeneous good and have the following identical…

A: Given information Market is perfect competition market Firms are producing identical products Total…

Q: A firm faces a demand function (where q=quantity demanded and p-price): q = 500 – 6p and a total…

A: The total revenue of a firm is the total payments received from the sale of goods and services. The…

Q: Consider a competitive industry with a market demand curve of P = 252 - Q, where P is market price…

A: Under a perfectly competitive framework, a large number of sellers making homogeneous products face…

Q: Suppose a perfectly competitive market has firms with total cost given by c(y) = 3y2+ 10. a) What…

A: Perfect competition is a type of a market structure.

Q: A large number of firms enter the Swedish market for the game Padel. For simplicity assume that they…

A: Free entry of firms in a perfectly competitive market shifts the market supply curve to the right…

Q: Suppose that all firms in a constant-cost industry have the following long-run cost curve: c(q) =…

A: C(q) = 4q2 + 100q + 100 Q(D) = 1280 - 2P----- q = 1280 - 2p