Author Question: What is the cost-minimizing equilibrium condition? What will be an ideal ... (Read 58 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?

Asthma cases in Americans are about 75% higher today than they were in 1980.

Did you know?

As many as 28% of hospitalized patients requiring mechanical ventilators to help them breathe (for more than 48 hours) will develop ventilator-associated pneumonia. Current therapy involves intravenous antibiotics, but new antibiotics that can be inhaled (and more directly treat the infection) are being developed.

Did you know?

Children with strabismus (crossed eyes) can be treated. They are not able to outgrow this condition on their own, but with help, it can be more easily corrected at a younger age. It is important for infants to have eye examinations as early as possible in their development and then another at age 2 years.

Did you know?

Studies show that systolic blood pressure can be significantly lowered by taking statins. In fact, the higher the patient's baseline blood pressure, the greater the effect of statins on his or her blood pressure.

Did you know?

The lipid bilayer is made of phospholipids. They are arranged in a double layer because one of their ends is attracted to water while the other is repelled by water.

For a complete list of videos, visit our video library