At what market prices would the firm shut down temporarily? What is the market price of a toy in long-run equilibrium? How many firms will be in the toy market in the long run? Explain your answer.

Figure 15.5 shows the short-run cost curves of a toy producer. The market has 1,000 identical producers and the table shows the market demand schedule for toys.

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FIGURE 15.5 Chapter Checkpoint Assignable Problems 5 to 7 Price and cost (dollars per toy) 24 21 18 15 12 0 500 MC ATC AVC 1,000 1,500 2,000 2,500 BILDE Output (toys per week)