Question
The Jones are small farmers in the wheat industry - they are price takers.Their cost function is:TC = 300,000 + 1,500Q + Q2and MC =
The Jones are small farmers in the wheat industry - they are price takers.Their cost function is:TC = 300,000 + 1,500Q + Q2and MC = 1500 + 2Q.The market price is $3,000 per ton. Assuming the Jones are maximizing profits (or minimizing loses), how much profit are they making?
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Microeconomics
Authors: Robert S. Pindyck, Daniel L. Rubinfeld
7th edition
8131725995, 8131725993, 978-8131725993
