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Economics

You are the manager of a monopolistically competitive firm. The present inverse demand curve you face is P = 100 – 4Q (MR = 100 – 8R). Your cost function is C(Q) = 50 + 8.5Q2 and MC(Q) = 17Q.

What level of output should you choose to maximize profits?

What price should you charge?

What will happen in your market in the long run? Explain?

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Business Economics, Economics

Category:- Business Economics
Reference No.:- M91559917

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