### How many firms do you expect there to be in the industry

Assignment Help Econometrics
##### Reference no: EM13214504

Assume that the most efficient production technology available for making vitamin pills has the cost structure given in the following table. Note that output is measured as the number of bottles of vitamins produced per day and that costs include a normal profit. Output TC MC ATC 25,000 \$100,000 \$0.50 ? 50,000 150,000 1.00 ? 75,000 187,500 2.50 ? 100,000 275,000 3.00 ?

a. What is ATC per unit for each level of output listed in the table?

b. Suppose that the market price for a bottle of vitamins is \$2.50 and that at that price the total market quantity demanded is 75,000,000 bottles. How many firms will there be in this industry?

c. Suppose that, instead, the market quantity demanded at a price of \$2.50 is only 75,000. How many firms do you expect there to be in this industry?

### Previous Q& A

#### Explain equation for the conversion of the fatty acid

What is the balanced equation for the conversion of the fatty acid H3C-(CH2)20-COOH to acetyl CoA and other products?

#### What would be the estimated price of bond today

A zero coupon Treasury bond is scheduled to pay \$1000 in 25 years. If the current Treasury yield rate on this maturity of bonds is 4.5% YTM (APR), what would be the estimated price of this bond today?

3.953g of egg shell was reacteed with 50ml of 0.1 mol/l hcl and shel contains ca2co3 after all the sheell reacted resultign solution was placed in a columetric flask and th colume made up to be 100ml.

#### How many labor hours and machine hours should firm employ

Davy Metal Company produces brass fittings. Davy's engineers estimate the production function represented below as relevant for their long-run capital-labor decisions. Q = 500L^0.6K^0.8 where Q = annual output measured in pounds.

#### At which output level avc reaches its minimum value

A firm estimates that its total cost function is accurately estimated by the equation TC = 6,000 + 19Q - 5Q^2 + 0.5 Q^3 a. How much is MC at an output of 10 units b. At which output level AVC reaches its minimum

#### State the new volume if the pressure remains constant

degrees C are warmed to 100 degrees C. what is the new volume if the pressure remains constant?

#### How much labor will be hired to minimize costs of producings

Your firm's the production function: Q = 4K^1/2L^1/2 Suppose that the price of labor is \$5 and the price of capital is \$20. Your firm desires to produce 200 units of output. How much labor will be hired to minimize the costs of producing 200 units..

#### Explain what kind of hybridization for the central at atom

What bond angles do you expect for each of the following, and what kind of hybridization do you expect for the central at atom in each?

#### How to determine the industrys market structure

Suppose that the market price for a bottle of vitamins is \$2.50 and that at that price the total market quantity demanded is 75,000,000 bottles. How many firms will there be in this industry d.Suppose that, instead, the market quantity demanded at ..

#### Explain the molecule should only contain only carbon

Draw a six carbon alkyne that can exist as diastereomers. The molecule should only contain only carbon

### Similar Q& A

#### Explanation of forecasting

Discuss forecasting and explain why is it so important in the management of business firms and other enterprises also determine the different types of forecasting?

#### What will happen to the m1 money supply

Refer to the simplified balance sheet for a bank and answer the following questions. Assets Liabilities Reserves \$10,000 Deposits \$70,000 Loans \$66,000 Stockholder's equity \$6,000 a. If the required reserve ratio is 5 percent, how much in excess rese..

#### Solve the budget line and find the coefficient

Suppose the consumer has \$100 to spend on consumptionnow (c1) or consumption next year (c2). Any money not spent now can be deposited in a bank account, accumulating interest at an annual rate of 10%, and then withdrawn for spending next year. The..

#### How much unemployment results using qls and qld labels

Under pressure from lobbying groups, the President of a newly-independent country implements a minimum wage of \$6/hour. The eq'm wage is currently \$7/hour, eq'm Q of labor is 35 hours. Using generic QLS and QLD labels (if necessary).

#### Determine which model is best choice for natasha

Natasha Gurdin is debating which of two models of a car to buy ( A or B ), being indifferent with regard to their technical Performance. She has been told that the average monthly cost of owning Model A, based on LCC analysis, is \$500

#### Find what is the predicted purchase behavior

Increasing customer satisfaction typically results in increased purchase behavior. For many products, there is more than one measure of customer satisfaction. In many of these instances, purchase behavior can increase dramatically with an increase..

#### How to differentiate among the various brands of widgets

Suppose Springfield's economy moves into a recession and Y falls to \$9 and rising unemployment allows widget makers to reduce wages to \$18 per hour. What happens to the supply and demand curves.

#### How many units of saddles produced for sale

Country A produces two goods, elephants and saddles. In the year 2006, the 100 units of elephants produced sold for \$2,500 per unit and the 30 units of saddles produced sold for \$200 per unit. In 2007, the 120 units of elephants produced sold for ..

#### Is household better off or worse off with higher interest

Suppose that the household decides to consume 26,000 in period 1 and 32,000 in period 2. Now suppose that the interest rate falls 50 percent, and the household decides not to borrow or lend at all. Is the household better off or worse off with the..

#### Will the industry expand or contract in the long run

assuming product price is \$32. With \$32 in place of \$56, its costs us \$52.50 and we sell it for \$30. This does not produce in the short run. The loss-minimizing outcome would be a loss of \$22.50. The economic loss would be if you take the loss of ..

#### Compute the standard error of estimate

compute the standard error of estimate and the standard error of the coefficient for the following data set: X = 95, 85, 80, 70, 60 and Y = 85, 95, 70, 65, 70. Lastly, set up and perform the hypothesis test to determine if a student's aptitude sco..

#### What is the cost per mile to own and operate the vehicle

Annual maintenance of the vehicle is estimated to cost \$700 per year. The cost of recharging the batteries is estimates at \$0.015 per mile. The salvage value of the batteries and the vehicle at the end of 12 years is estimated at \$2000. Consider t..