1)Suppose there are 1000 identical wheat farmers. For each, C(Q) = 10 + Q². Market demand is Q = 600,000 - 100P.

1a . What is the firm's supply curve?

1b . What is the market supply curve?

1c . What is the market equilibrium Q and P?

1d . What is the profit of an individual firm?

2)Suppose the demand for pizza in a small isolated town is P = 10 - Q. There are only two firms, A and B, and each has a cost function C(Q) = 2 + Q. Determine the Cournot oligopoly equilibrium.

2a. What are the profit functions of firm A and B?

2b. What are the best response functions of firm A and B?

2c. Determine the Cournot equilibrium quantities