Ask Question, Ask an Expert

+61-413 786 465

info@mywordsolution.com

Ask Microeconomics Expert

Economics


Home >> Microeconomics

The marginal revenue curve of a monopoly crosses its marginal cost curve at $30 per unit, and an output of 2 million units. The price that consumers are willing and able to pay for this output is $40 per unit. If it produces this output, the firm's average total cost is $43 per unit, and its average fixed cost is $8 per unit.

a) What is this producer's profit-maximizing (loss-minimizing) output level?

b) What are the firm's economic profits (or economic losses)?

Microeconomics, Economics

  • Category:- Microeconomics
  • Reference No.:- M9305916

Have any Question?


Related Questions in Microeconomics

Question in 1999 brazil was forced to devalue the real by

Question: In 1999 Brazil was forced to devalue the real by almost 50%, and in 2002 Argentina was forced to devalue the peso by almost 50%. According to the static model, that would boost net exports and raise GDP. Howeve ...

Question in fast food we often see that a single franchisee

Question: In fast food we often see that a single franchisee owns all the outlets in a certain area that may be as large as a city. How does this increase the value that a franchise agreement is likely to create? The res ...

Question the inflation rate in argentina fell from over

Question: The inflation rate in Argentina fell from over 3,000% in 1989 to 25% in 1992 and virtually zero in 1998. (A) What do you think happened to the money supply growth over the same time? (B) What do you think happe ...

Question using academic scholarly research find an article

Question: Using academic scholarly research, find an article that addresses an ethical dilemma from the past five years and annotate it thoroughly. What are the key points to the article? Summarize the dilemma. What are ...

Question farm laborers in the united states are sometimes

Question: Farm laborers in the United States are sometimes paid by piecework, for example, a fixed amount for each basket of fruit that they pick from an orchard. Looking at the shirt assembly example, explain the simila ...

Question in a perfectly competitive market demand is qd 32

Question: In a perfectly competitive market, demand is QD = 32 - 1.5P and supply is QS = -20 + 2.5P. Find equilibrium price and quantity and producer and consumer benefits. Say an innovation then lowers every seller's ma ...

Question what is the relationship if any between production

Question: What is the relationship (if any) between production technology (i.e. productivity) and cost ? In your analysis define the various cost structures (short-run & long-run); Describe the difference between account ...

Question a genealogical firm called roots produces its

Question: A genealogical firm called Roots produces its output using only one input. Its production function is f(x) = vx. (a) Does the firm have increasing, constant, or decreasing returns to scale? (b) How many units o ...

Question a what characteristic of natural gas

Question: A) What characteristic of natural gas infrastructure led to regulation of the natural gas industry in the first half of the 20th century? What type of regulation was used? What is the economic justification for ...

Question assume that workers whose incomes are less than

Question: Assume that workers whose incomes are less than $10,000 currently pay no federal income taxes. Suppose a new government program guarantees each worker $5000, whether or not he or she earns any income. For all e ...

  • 4,153,160 Questions Asked
  • 13,132 Experts
  • 2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Why might a bank avoid the use of interest rate swaps even

Why might a bank avoid the use of interest rate swaps, even when the institution is exposed to significant interest rate

Describe the difference between zero coupon bonds and

Describe the difference between zero coupon bonds and coupon bonds. Under what conditions will a coupon bond sell at a p

Compute the present value of an annuity of 880 per year

Compute the present value of an annuity of $ 880 per year for 16 years, given a discount rate of 6 percent per annum. As

Compute the present value of an 1150 payment made in ten

Compute the present value of an $1,150 payment made in ten years when the discount rate is 12 percent. (Do not round int

Compute the present value of an annuity of 699 per year

Compute the present value of an annuity of $ 699 per year for 19 years, given a discount rate of 6 percent per annum. As

Follow Us

© Copyright 2013-14 mywordsolution.com All rights reserved