Monopoly outcome in microeconomics.?

Question

I am in first year micro. The question gives a total cost function and a demand function for the industry. I am also given minimum average costs at a particular quantity. How do I figure out wha tthe monoply will produce in the long run? MC=MR, but this is long run?

Answer 1

Seeing as that is the formula that you have been given to apply, trust that it is long run. If not, you will find out and know for next time. They will teach you short run later in the course. I love my commodities. Pay attention in class.