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Q1 how much deadweight loss does great reception causes

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Q1. How much deadweight loss does Great Reception causes when it restricts output and charges a price above marginal cost?

Q2. Firm XYZ measured its MP of labor curve to be the following: MP = 4000 -2L where L is the number of hours of labor hired per day. XYZ produces gadgets that are sold for $20 each and is able to hire workers for $10 per hour. How many hours of labor should XYZ hire each day to maximize its profits?

Reference no: EM13353868

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