ECON 3070 section 2
HW 4
Suggested solutions
April 5, 2007
Problem 1 Firm Jimba produces candy and its variable cost (in thousand
dollars) is V C (q) = 2q3 , where q is a ton of candy. Assume, in addi
ECON 3070-002
INTERMEDIATE MICROECONOMIC
THEORY
Suggested Solutions to Homework 3
Carefully show how you derive you answer and be sure to interpret your
answer where necessary.
1. Jasons preferences o
ECON 3070-002
INTERMEDIATE MICROECONOMIC
THEORY
Spring 2007, Homework 3
Due Thursday March 1 (prior to
commencement of lecture)
Carefully show how you derive you answer and be sure to interpret your
a
ECON 3070 section 2
HW 5
Solutions
April 13, 2007
Problem 1 Suppose Adam and Eve are the only individuals in the economy
(a small island). Adam brings 6 pheasants (x) and Eve brings 6 buckets of
apple
ECON 3070 section 2
HW 6
Solutions
May 2, 2007
Problem 1 a. 13.14, p. 517. Use the information about cobalt industry
from this problem to answer additional questions.
b. Assume there are only two rms
ECON 3070 INTERMEDIATE MICROECONOMIC THEORY
Homework 2 solution
Q1.
(2C + 2) + 2C
4C
C
= 22
= 20
= 5
Plugging this result back into the tangency condition implies that F = 2(5)+
2 = 12. At the optimum
Question 4
When R = 2 and T = 10, Qd (P ) = 70 2P and Qs (P ) = 14 + 5P.
(a) Set Qd (P ) = Qs (P ) to get 702P = 14+5P , Solution is: P = 12,
so Q = 46; this is equilibrium.
P
(b) Price elasticity of
Econ 3070-002 Intermediate Microeconomic
Theory
Final Exam
Spring 2006
Time: 2.5 hr
30 percent of overall grade. Please prove and
interpret your answers
May 2, 2006
NAME:
Signature
DATE:
Honor code. O
Econ 3070 Returns to scale and Marginal Cost
March 13, 2007
Example 1 F (L, K) = min cfw_L, K . Optimal input combination to produce Q units of output: .L = K = Q. Cost function: wL + rK = Q (w + r) =
ECON 3070-002
INTERMEDIATE MICROECONOMIC
THEORY
Spring 2007, Homework 2
Due Thursday February 15 (prior to
commencement of lecture)
Carefully show how you derive you answer and be sure to interpret yo