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The Marginal Costs (MC) for a firm is given by the function MC=50x. Please find the Marginal Revenues (MR) for each of the following scenarios (if appropriate). Then, find the profit maximizing production quantity. Does the firm make profits of losses with this quantity?
• For a price of 10, the firm can sell as many units as it wants to.
• The demand function is xp20110?
• The demand function is xp2040?
Q. What is Labor Market? Labor market in the IS-LM model is the same as in cross model. Hence the IS-LM model is only applicable if profit-maximizing quantity of L would result
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