One representative perfectly competitive firm has a total cost function given by TC =Q³-6Q²+49Q. a. Is this firm in the long or short run? A. long run B. short run Explain your choice on your answer sheet.
b. What will the industry's long run equilibrium price be? $ ___
c. What is the firm's profit? $___ Let the market demand function be given by Q = 606-6P. d. What is the equilibrium level of output for the market? Now, suppose the government imposes a tax of $5 per unit on the output. e. How much does the firm receive per unit? $ __
f. How much do consumers pay per unit? $ __
g. Who bears more of the burden of the tax? O Producer
O Consumer