Question
Suppose the marginal cost of writing a contract of length L is MC ( L ) = 30 + 2 L . Find the optimal
Suppose the marginal cost of writing a contract of lengthLisMC(L) = 30 + 2L. Find the optimal contract length when the marginal benefit of writing a contract is:
Instruction:Enter your responses rounded to two decimal places.
a.MB(L) = 100.
b.MB(L) = 160.
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International Economics
Authors: Robert Carbaugh
15th edition
1285854357, 978-1305177093, 1305177096, 978-1285854359
