Author Question: What is the cost-minimizing equilibrium condition? What will be an ideal ... (Read 60 times)

Yolanda

  • Hero Member
  • *****
  • Posts: 757
What is the cost-minimizing equilibrium condition?
 
  What will be an ideal response?

Question 2

Refer to Figure 4-1. If the market price is 2.50, what is the consumer surplus on the second ice cream cone?
 
  A) 0.50 B) 1.50 C) 3.00 D) 10.50



b614102004

  • Sr. Member
  • ****
  • Posts: 320
Answer to Question 1

The cost-minimizing equilibrium condition is for the slope of the isoquant (-MPL/MPK) to be equal to the slope of the isocost line (-PL/PK).

Answer to Question 2

A



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
 

Did you know?

This year, an estimated 1.4 million Americans will have a new or recurrent heart attack.

Did you know?

Congestive heart failure is a serious disorder that carries a reduced life expectancy. Heart failure is usually a chronic illness, and it may worsen with infection or other physical stressors.

Did you know?

Human stomach acid is strong enough to dissolve small pieces of metal such as razor blades or staples.

Did you know?

For pediatric patients, intravenous fluids are the most commonly cited products involved in medication errors that are reported to the USP.

Did you know?

The U.S. Pharmacopeia Medication Errors Reporting Program states that approximately 50% of all medication errors involve insulin.

For a complete list of videos, visit our video library