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The market for carrots in the city of Lafayette, has the following demand schedule: '0 .' iee Quantity (S/kg) demanded (kg) 1200 1100 1000 G)
The market for carrots in the city of Lafayette, has the following demand schedule: '0 .' iee Quantity (S/kg) demanded (kg) 1200 1100 1000 G) D O HH H 0'! D 0 u D O H M Each producer in the market has xed costs of $9 and the following variable cost: Also, each producer in this market is maximizing prots. a. (4 points) Compute (present answer with 2 decimals) all the costs for a typical producer in this market. (e.g., for each level of quantity, compute ATC, AVC, MC, AFC). b. The price of carrots is 11 S/kg. Find number of carrots sold by each producer, number of producers, prot of each producer (3 points). Show this situation for both short run and long run implications with graphs for the rm and the entire market (4 points). c. (4 points) For the long situation in the long run: nd number of carrots sold by each producer, market price, number of producers, prot of each producer
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