Question: Suppose a YouTube content creator ( i . e . , a YouTuber ) in a perfectly competitive market with the following total cost function:
Suppose a YouTube content creator ie a YouTuber in a perfectly competitive market
with the following total cost function: TC q
a Find the supply curve for this YouTuber as a function of PHint: Find the MC
and equate it to the market price P Then, solve for q as a function of P to obtain the
supply curve q fP
b Suppose that the market price is P What is the profit maximizing output level
q
c Calculate the YouTubers producer surplus for the market price given in b
d Find the market supply curve as a function of P if there are identical YouTubers
in this market. What is the market output level, Q if P What is the market
output level, Q if P
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