The following table gives quantity supplied and quantity demanded at various prices in the perfectly competitive meat-packing market: a. What is the profit-maximizing output level for the typical...

The following table gives quantity supplied and

quantity demanded at various prices in the perfectly

competitive meat-packing market:

a. What is the profit-maximizing output level for the

typical firm? (Hint: Calculate MC for each change

in output, then find the equilibrium price, and

calculate MR for each change in output.)

b. Is this market in long-run equilibrium? Why or

why not? (Hint: Calculate ATC.)

c. What do you expect to happen to the number of

meat-packing firms over the long run? Why?