The total marginal cost functions of a competitive firm are tv+1800+2q^2 and mc=4q, where tv and mc are total cost respectively, and q is the firms total output. There are currently 100 identical firms. The demand function is p=180-.02q. P is price, q is aggregate quantity demanded
A) Fine equilibrium price and quantity. Explain
B) Is this long run equilibrium. Explain
C) Suppose what actually happens in the demand condition so that the new function is p=240-.02q. Find short run and long run effect of this change on the equilibrium price, quantity, and the number of firms in the industry. Explain