The plant on the left is growing more because it has been receiving more water

Consider the market for paper. Let market demand be given by inverse demand function P d (Q) = 60 − Q, where Q is tons of paper

MakcuM [25]

Answer:

See explaination

Explanation:

Demand for paper is given below:

P(Q)=60-Q,

Number of paper mills=20

The cost curve for firm is given below:

C(Q)=10Q2

The external cost in terms of pollution down river by production of paper is given below:

EC(Q)=10Q2

a. The optimal level of paper production by market can be calcuated by equating MC=P

20Q=P

Q=P/20

b. The optimal level of paper production by market can be calcuated by equating MC=P.

MC=20Q

60-(20Q)=20Q

Q=60/40

Q=1.5

Total quanity by 20 firms will be 1.5*20=30

c. The socially efficient level of paper output is calcuated below:

MC+EC'=20Q+20Q

60-(20Q)=40Q

Q=60/60

Q=1

Total quanity by 20 firms will be 1*20=20

The price will be P=60-20=40

d, The deadweight loss occurs as market price increases and quantity decreases due to the external cost . The deadweight loss is calcuated below:

DWL=(1/2)*change in price* change in quantity

=(1/2)*10*10=50

e. 20 firms merged into one firm to make monopoly firm. The cost function for the monopoly is given below:

Cm(Q)=20*10(Q/20)2

The marginal cost for the monopoly firm will be

MCm=Q

The marginal revenue for the firm is 60-2Q

For optimal output MR is equated to MC

60-2Q=Q

Q=20

P=40.

The monopoly outcome is below the perfect competition outcome and price is higher in comparison to perfect competition. The monopoly outcome is same as socially efficient outcome.

The total surplus for this outcome is sum of consumer surplus and producer surplus and subtraction of external cost

TS=CS+PS-EC

=(1/2)*20*20+(1/2)*40*20-10(20)2

=600-4000=-3400

Due to the external effects the total surplus to the society is negative. In perfect competition this effect is not considered and output produced is high therefore, the external cost will be higher with higher output leading to higher negative social surplus. Generally the monopoly outcome reduces the total social surplus but in case of externality, the monopoly total surplus is higher than the perfect competition.

3 0

3 years ago

Marvin records scientific data about Lake Superior. For which property has Marvin forgotten to use an SI unit of measurement?

Illusion [34]

Answer: low temperature

Explanation:-

S.I or M.K.S is a system for defining physical units as meter, kilogram, second, ampere, kelvin or celcius, candela, and mole together with a set of prefixes to indicate multiplication or division by a power of ten for measuring length, mass, time , current, temperature and amount of substance respectively.

Given :

lake length = 563 kilometers = $563\times 10^3m$

High temperature = $76.5^0F$

Low temperature = $-6.3^0C$

annual precipitation =762 mm= $762\times 10^{-3}m$

Thus low temperature in units of Fahrenheit is not an S.I unit of measurement.

8 0

3 years ago

Read 2 more answers

What is the correct sequence of events in the food chain?

Veseljchak [2.6K]

I believe it is the fourth choice because the producer would use sunlight to make food, then the next choice fhat has anything to do with the producer is [D]. if i’m wrong i’m sorry but I believe that would be the write anwser.

7 0

2 years ago

Compounds X and Y are both C6H13Cl compounds formed in the radical chlorination of 3-methylpentane. Both X and Y undergo base-pr

zubka84 [21]

Answer:

Y is a 3-chloro-3-methylpentane.

The structure is shown in the figure attached.

Explanation:

The radical chlorination of 3-methylpentane can lead to a tertiary substituted carbon (Y) and to a secondary one (X).

The E2 elimination mechanism, as shown in the figure, will happen with a simulyaneous attack from the base and elimination of the chlorine. This means that primary and secondary substracts undergo the E2 mechanism faster than tertiary substracts.

6 0

3 years ago

Which integration phase moves the recovered person to the continental united states

nydimaria [60]

Phase 3 is the integration phrase

7 0

3 years ago