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A firm in a perfectly competitive market has the following cost curve: TC = 200 +...

A firm in a perfectly competitive market has the following cost curve: TC = 200 + Q + 2Q^2 and The market demand is: Qd = 121 - P. There are 20 identical firms in the market (N =20) in the short-run.

e) At the equilibrium price found in part (c), how much profit is each firm making in the short-run? Will there be entry or exit in this market in the long-run?

f) What is the price of the product in the long-run?

g) How many firms are there in the market in the long-run?

h) How much profit is each firm making in the long-run

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Expert Solution

Rahul Sunny answered 2 years ago
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