Suppose That for Each Firm in the Competitive Market for Potatoes,long-Run

question 14

Multiple Choice

Suppose that for each firm in the competitive market for potatoes,long-run average cost is minimized at $0.20 per pound when 500 pounds are grown.The demand for potatoes is Q = 10,000/p.If the long-run supply curve is horizontal,then how many firms will this industry sustain in the long run?

• A) 0
• B) 100
• C) 50,000
• D) There is not enough information to answer.

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Definitions:

Medical Dosages

The prescribed amount of medication to be taken by a patient, usually measured in terms of quantity or concentration.

Dosage Interval

The time between doses of a medication, critical for maintaining the therapeutic level of the drug in the bloodstream.

Drug Half-life

The drug half-life is the time required for the concentration of a drug in the body to be reduced by half, reflecting the drug's duration of action.

Drug Potency

A measure of drug activity expressed in terms of the amount required to produce an effect of given intensity.