Managerial Economics & Business Strategy 8th Edition by Michael Baye,Jeff Prince

Exercise 22

Suppose the supply function for product X is given by

a. How much of product X is produced when P x = $600 and P z - $60?
b. How much of product X is produced when P x = $80 and P z - $60?
c. Suppose P z = $60. Determine the supply function and inverse supply function for good X. Graph the inverse supply function.