Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Suppose it costs $128 for each lobster trap set. Lobsters sell for $22. If X traps are set, the harvest rate of lobsters, L, as

Suppose it costs $128 for each lobster trap set. Lobsters sell for $22. If X traps are set, the harvest rate of lobsters, L, as a function of the number of traps, is given by:

L = 9X -X2

Suppose lobsterpeople could limit the number of traps permitted. How many traps should be permitted, if Australia wanted to maximize overall profits from lobstering? How many lobsters would be harvested? What would total profits be from lobstering? Note- prices are fixed at $22 and traps cost $128 each. Round to two decimal points.

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Microeconomics

Authors: David Besanko, Ronald Braeutigam

5th edition

1118572270, 978-1118799062, 1118799062, 978-1118572276

More Books

Students also viewed these Economics questions

Question

7. One or other combination of 16.

Answered: 1 week ago

Question

5. It is the needs of the individual that are important.

Answered: 1 week ago