3. A market consists of 100 identical firms and the market demand curve is given by...

 

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3. A market consists of 100 identical firms and the market demand curve is given by D(P) = 60 - P. Each firm has a short-run total cost curve STC(q)=0.1+150g. What is the short-run equilibrium price and quantity in this market? 4. The short-run marginal cost curves of two types of firms in an industry are given as MC = 3q and MC = 5q respectively. There are 100 firms of each type. If these firms behave competitively, determine the market supply curve. Calculate the elasticity of market supply at $5. 3. A market consists of 100 identical firms and the market demand curve is given by D(P) = 60 - P. Each firm has a short-run total cost curve STC(q)=0.1+150g. What is the short-run equilibrium price and quantity in this market? 4. The short-run marginal cost curves of two types of firms in an industry are given as MC = 3q and MC = 5q respectively. There are 100 firms of each type. If these firms behave competitively, determine the market supply curve. Calculate the elasticity of market supply at $5.

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3 To find the shortrun equilibrium price and quantity in the market we need to determine the point where the market demand curve intersects the aggreg... View the full answer