2023 Consider a competitive firm whose cost is given by C 4 4Q | Assignments Online
2023 Consider a competitive firm whose cost is given by C 4 4Q | Assignments Online
Assignments Online 2023 Business Finance
Consider a competitive firm whose cost is given by
C = 4 + 4Q + Q2, and its inverse demand function is given by P = 9 – Q/4.
The product sells at $30 per unit.
(1) Find the optimal price and quantity of output in the short run.
(2) What long-run adjustments should you expect? Explain.
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