Suppose the marginal social cost of television sets is $100. This is constant and equal to the average cost of television sets. The annual demand for television sets is given by the following equation: Q = 200,000 - 500P2. If television sets are sold in a perfectly competitive market, calculate the annual number sold. Under what circumstances will the market equilibrium be efficient? See the attached file.© BrainMass Inc. brainmass.com October 9, 2019, 11:51 pm ad1c9bdddf
Q = 200000 - 500*100 = 150,000 televisions
The market equilibrium is efficient if ...
The market equilibrium is assessed.