kenzie98362 kenzie98362

22-04-2024
Business

Answered

Suppose there are N identical firms that have the a cost function equal to C(q) = 4q². Suppose the firms operate in a perfectly competitive market, and face a perfectly elastic demand equal to P = 4. How many firms should operate in the market, such that the equiLiBrium quantity is equal to Q+ = 5?

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