For a single seller, the figure below shows the relationship between the number of units produced and the opportunity cost of producing an additional unit of output. If the market consists of 50 identical sellers, how much would be supplied in the market at a price of $14 per unit?

Question

Quizplus · Accepted Answer

As per the given figure, at a price of $14 per unit, each seller would be willing to produce 500 units (where the opportunity cost of producing one more unit is equal to $14), and since there are 50 identical sellers in the market, the total supply at this price would be 50 x 500 = 17,500 units. Therefore, the correct choice is C.

For a Single Seller, the Figure Below Shows the Relationship