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A Competitive Industry Consists of 100 Firms

Question 63

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A competitive industry consists of 100 firms. The short-run marginal cost curve for each firm is given by MC = 200 + .3Q. The demand curve faced by the industry is given as P = 400 - .1Q. What is the producer surplus for each firm?

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(150 × 5)/2 = 375. The point h...

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