Question 1 Consider the following statement of equalities: P = MC = minimum SRATC = minimum LRAC. This statement of equalities best applies to which of the following? O a perfectly competitive industry that is in short-run equilibrium O a perfectly competitive firm that is maximizing profits, which will lead other firms to enter this industry O a perfectly competitive firm when the industry is in long-run equilibrium O a perfectly competitive firm that is producing the optimal quantity, such that other firms will exit the industry O a perfectly competitive industry that is in long-run equilibrium

Question 1 Consider the following statement of equalities: P = MC = minimum SRATC = minimum LRAC. This statement of equalities best applies to which of the following? O a perfectly competitive industry that is in short-run equilibrium O a perfectly competitive firm that is maximizing profits, which will lead other firms to enter this industry O a perfectly competitive firm when the industry is in long-run equilibrium O a perfectly competitive firm that is producing the optimal quantity, such that other firms will exit the industry O a perfectly competitive industry that is in long-run equilibrium

Microeconomic Theory

12th Edition

ISBN:9781337517942

Author:NICHOLSON

Publisher:NICHOLSON

Chapter12: The Partial Equilibrium Competitive Model

Section: Chapter Questions

Problem 12.4P

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13. Suppose a representative firm in a perfectly competitive industry has the following totalcost of production in the short run: TC=Q^3-40Q^2+600Q.a. What will be the long run equilibrium quantity for the firm? What will be the longrun equilibrium price in this industry?b. Let the industry demand be given by QD=12400-4P. How many firms will be activein the long-run equilibrium?c. Suppose the firm faces a positive demand shock that increases the industry demandto QD=16000-4P. Describe how the industry would respond and calculate thechange in the number of firms.
Given this practice question could I get help understanding how to fill out the table?
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