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Assume that a competitive firm has the total cost function:
TC=1q3-40q2+820q+1900
Suppose the price of the firm's output (sold in integer units) is $600 per unit.
Create tables (but do not use calculus) with columns representing cost, revenue, and profit to find a solution.
1. How many units should the firm produce to maximize profit?
2. What is the total profit at the optimal output level?
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In a market for car insurance, which of the following are examples of statistical discrimination?
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