Question 5 Suppose that the cost function of a firm is C(q)=4q. Suppose that this is the only firm in the market, and demand is Q(p)=10-p. What is the Consumer Surplus in a competitive equilibrium in this economy? 18 36 20 12 15

Suppose five construction companies have the ability to build a factory overseas to produce a manufactured good The marginal cost of building a factory for each construction company is shown in the table below: Producer Company 1 Company 2 Company 3 Company 4 Company 5 Marginal Cost S1,000,000 $1.250,000 $1,300,000 $1,350.000 $1.500.000 If the market price of an overseas factory is $1.425,000, what is the surplus for these five companies? Producer surplus is S (Enter your response an a whole number

Consider a market with free entry and exit where all firms are identical and have the following TVC schedule and a fixed cost of 32. Q           1             2             3             4             5             6              7             8             9             10 TVC     12           20           24           28           34           42           52           64           78           94 And let demand for this good be given by the following schedule. P           2             4             6             8             10             12              14             16             18             20 QD       1700      1600     1500      1400       1300        1200          1100        1000       900           800 a. Now assume that the production of this good comes with an external cost of $4.  On a graph show the supply, demand and marginal social cost for this good.  Also indicate the efficient quantity and the dead weight loss. b. Considering that the equilibrium quantity is…

Answer in the photo. Please provide the solution

Figure 14-4 In the following figure, graph (a) depicts the linear marginal cost (MC) of a firm in a competitive market, and graph (b) depicts the linear market supply curve for a market with a fixed number of identical firms. Graph (a): Firm Graph (b): Market Refer to Figure 14 -4. If at a market price of $1.75,52,500 units of output are supplied to this market, how many identical firms are participating in this market? 250 75 100 300  Please give me correct answer with Calculation and full explanation; otherwise, i give multiple downvote

consider a market with a large number of firms, an upward sloping supply curve S0, and a downward sloping demand curve D0.  Assume that the market is perfectly competitive; hence, the supply curve S0 is the sum of the marginal cost curves of all the firms.  Indicate the original competitive equilibrium price P0, equilibrium quantity Q0, the resulting Consumer Surplus CS0, the resulting Producer Surplus PS0, and the “socially optimal” output (the output the Benevolent Dictator would choose) QSO on your graph. Graphically indicate the size of Dead-Weight Loss DWL0 if there is such a loss. In the narrative, please explain how you determined the socially optimal output level and the presence (or absence) of dead-weight loss in this situation.

(9) Suppose the market for tennis shoes has one dominant firm and five fringe firms. The market demand is Q= 400 – 2P. The dominant firm has a constant marginal cost of 20. The fringe firms each have a marginal cost of MC = 20 + 5q.- a. Verify that the total supply curve for the five fringe firms is Q, = P-20. b. Find the dominant firm's demand curve. c. Find the profit-maximizing quantity produced and price charged by the dominant firm, and the quantity produced and price charged by each of the fringe firms. d. Suppose there are ten fringe firms instead of five. How does this change your results?-

3.14 Each of the 10 firms in a competitive market has a cost function of C = 25+q². The market demand function is Q = 120-p. Determine the equilibrium price, quantity per firm, and market quantity. M

8. a) Suppose a firm A produces a product q, but also pollution x that affects a second firm B. Firm A is a competitive firm and faces an equilibrium price of £12 for its product. The cost function of firm A is C (q,x) = q² + (x-4)2. Firm B is a competitive firm and faces an equilibrium price of £10. Firm B's cost function is C₂(r,x) = r² + xr. Compute the equilibrium prices and quantities and the profits of the two separate, competitive firms. Interpret the first order conditions. Explain. b) Compute the social optimum, that is, the equilibrium prices, quantities, and profit when firm A and B are merged. Interpret the conditions and compare it to the solution in (a). Explain. c) Devise a quantity tax on product q for firm A in (a) such that the government can restore the social optimum in (b).

3. Consider a market for an identical product with four firms. The inverse demand for this product is P = 150-2Q where P is price and Q is aggregate output. The production costs for firms 1 and 2 is given by C(qi) = 5qi where qi is the output of firm i and the production costs for firms 3 and 4 is given by C(q) = 10qį. That is, firms 1 and 2 have a constant marginal cost of 5 per unit and firms 3 and 4 have a constant marginal cost of 10 per unit. Assume that the firms each choose their outputs to maximize profits (Cournot competition) a. Find the Cournot equilibrium output for each firm, the market price and the profits of each of the four firms. (10 pts) b. Suppose that firms 1 and 2 merge and the merged firm's variable cost is the lower of the two firms' costs. Assume that all other firms continue to act as Cournot competitors after the merger. Calculate the Cournot equilibrium output for each firm, the market price and the profits of each of the three firms. Is this merger…