Essay
Suppose that the market for painting services is perfectly competitive. Painting companies are identical; their long-run cost functions are given by 
.
Market demand is 
.
a. Find the long-run equilibrium price in this industry.
b. Use market demand to find the equilibrium total industry output.
c. Find the equilibrium number of firms.
Correct Answer:
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a. The minimum average total cost occurs...View Answer
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