Question
Suppose a single firm produces all of the output in a contestable market. The market inverse demand function is P = 200 -5 Q ,
Suppose a single firm produces all of the output in a contestable market. The market inverse demand function isP= 200 -5Q, and the firm's cost function isC(Q) = 20Q. Determine the firm's equilibrium price and corresponding profits.
a) what is the price ?
b) what is the profits ?
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World Economic And Social Survey 2012 In Search Of New Development Finance
Authors: United Nations Department Of Economic And Social Affairs
1st Edition
9210555112, 9789210555111
