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Two hundred paper mills compete in the paper market. The total cost of production (in dollars) for each mill is given by the formula TC = 500Qmill+ (Qmill)2 where Qmill indicates the mills annual production in thousands of tons. The marginal cost of production is MC =500 + 2Qmill. The external cost of a mill’s production (in dollars) is given by the formula EC=40Qmill+ (Qmill)2 and the marginal external cost of production is MEC =40+ 2Qmill. Finally, annual market demand (in thousands of tons) is given by the formula Qd= 150,000–100P where P is the price of paper per ton.Using algebra, find the competitive equilibrium price and quantity, as well as the efficient quantity. Calculate the magnitude of the deadweight loss resulting from the externality. Illustrate your solution with graphs.
Explain how the following events would affect the demand for labor. A new education program administered by the company increases labor's marginal product.
q. you sell a commodity in a market that resembles perfect competition and your cost function is cq 2q 3q2.
What is a counterfactual, and what is the fundamental problem of causal inference? How does random assignment of a treatment address this problem? Describe David Freedman’s views on whether applying econometric techniques (e.g., regression analysis) ..
What aspects of Winthrop's views on limited government are confirmed by what takes place in the documentary? (Consider the need for a Bill of Rights, centralized government becoming too tyrannical, the benefits of local government/law enforcement, et..
U.S. government price supports for milk led to an unceasing surplus of milk. In an effort to reduce the surplus about a decade ago, Congress offered to pay dairy farmers to slaughter cows. Use two diagrams, one for the milk market and one for the mea..
If the company has not paid dividends, discuss why think the company is not paying dividends or whether they should consider adopting a dividend policy.
q.based on market research a recording company obtains the following information about the demand and production costs
The project management role has several responsibilities in the area of scope. Which of the following represent these areas for scope.
q.you are given the market data that says when the price of cake is rs. 60 the quantity demanded of cake is 80 slices
Use examples both numerical and explanations to make your case. Give an example of a real world situation where two or more firms in a certain industry would be better off if they came together and behaved like a monopoly.
Which of the following will NOT shift the supply for tea?
When a binding price ceiling is introduced into a market, economists generally expect what outcome?
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