Saturday

December 20, 2014

December 20, 2014

Posted by **Anna** on Tuesday, July 26, 2011 at 1:01am.

Price Quantity Demanded

$1 1,200

2 1,100

3 1,000

4 900

5 800

6 700

etc...

13 0

Each producer in the market has fixed costs of $9 and the following marginal cost:

Quantity Marginal cost

1 pie $2

2 4

3 6

4 8

5 10

6 12

A) compute each producer's total cost and average total cost for 1 to 6 pies.

B) The price of a pie is now $11. How many pies are sold? How many pies does each producer make? How many producers are there? How much profit does each producer earn?

C) Is the situation described in bar (b) a long-run equilibrium? Why or why not?

D) Suppose that in the long run there is free entry and exit. How much profit does each producer earn in the long-run equilibrium? What is the market price and number of pies each producer makes? How many pies are sold? How many pie producers are operating?

I know this is a lot but I really could use the help! Thanks.

- MicroEcon -
**いい**, Sunday, November 3, 2013 at 8:45pmしけいし

**Answer this Question**

**Related Questions**

macroeconomics - I am not sure how to draw the graphs can anyone help answer ...

Economics - Suppose that Neptune Music has the copyright to the latest CD of the...

Microeconomics - I am on the chapter for monoplies. I need to calculate the ...

economics - Market research has revealed the following information about the ...

Economics - Suppose that Neptune Music has the copyright to the latest CD of the...

home economics - Suppose that 200 gallons of gasoline are demanded at a ...

Managerial Economics - Suppose that Neptune Music has the copyright to the ...

Math - The quantity demanded each month of Russo Expresso Makers is 250 when the...

Finite Math - The quantity demanded each month of russo Espresso Makers is 250 ...

economics - Suppose we have the following market supply and demand schedules for...