Please help ! Microeconomics question (1 Viewer)
- Thread starter coeyz
- Start date
Depending on how you did (b), I think you just need to conduct a marginal analysis since it asks you to find the point to cease production.
In (b):
MC = marginal cost only (as the farmer owns the lake, therefore bears the externalities)
MR = marginal social benefit
So now consider (c):
MC = marginal cost+marginal external cost (as the company owns the lake, therefore externalities have now added to the cost)
MR = marginal social benefit
You'd still have to check with your tutor to be certain, because the question doesn't not really specify any of the assumptions made.
In (b):
MC = marginal cost only (as the farmer owns the lake, therefore bears the externalities)
MR = marginal social benefit
So now consider (c):
MC = marginal cost+marginal external cost (as the company owns the lake, therefore externalities have now added to the cost)
MR = marginal social benefit
You'd still have to check with your tutor to be certain, because the question doesn't not really specify any of the assumptions made.
Chibimaru.
The microeconomics exam is next friday. I'm sorry to inform you but you are unfortunately screwed. might as well give up on life and sign up for some free hooker stuff.
Alternatively you can contact me on 0423764281 for some juicy XXX
Supa Babe (L)
The microeconomics exam is next friday. I'm sorry to inform you but you are unfortunately screwed. might as well give up on life and sign up for some free hooker stuff.
Alternatively you can contact me on 0423764281 for some juicy XXX
Supa Babe (L)
jaychouf4n
Member
- Joined
- Apr 27, 2008
- Messages
- 213
- Gender
- Male
- HSC
- 2009
Oh wow I didn't know I had any forum trolls in my class. Aren't you the scrawny guy that says EPIC all the time :O
Weren't you caught out for plagiarism in Macroecon and fail Labour Econ last year? Still not expelled yet, I take it.
Here's a fact: 1 more strike and you're out. Now relish in it.
Nah its 3 strikes bro (Y)
but I will relish in the hot sweat of ur body as we make love into the night......
the night is yet young chibimaru so we can still make out come Kings Cross XXX. Or maybe u want to meet up at the quad 3pm monday? they have condom machines in the library for a reason
but I will relish in the hot sweat of ur body as we make love into the night......
the night is yet young chibimaru so we can still make out come Kings Cross XXX. Or maybe u want to meet up at the quad 3pm monday? they have condom machines in the library for a reason