Please help?!?

Question 12 (Challenging). Farmer Paul's chickens has decided to expand their business and open its very own charcoal chicken restaurant. Paul the firm's owner knows that he has entered a very competitive market. He is aware that consumers don't mind where they get their charcoal chicken from and that every one of the 99 charcoal chicken restaurants have the same business structure. At this point in time he finds that by selling 90 chickens/day at $20 each, his revenues are the same as other possible business venture he could have taken after subtracting operating costs. a) What is the current state of the market for charcoal chicken? Draw the short run market and firm cost curves. b) On your firm cost curves construct the firm demand curve. Explain how this influences Paul's pricing strategy. c) Over time the population in which this market operates is expected to increase. Explain step-bystep how this affects the market and what this means for the structure of the long run supply curve. How would this affect a business owner such as Paul? Does he have any incentive to change his behaviour? d) How does this change the long run behaviour of the market? 3) Do you expect the market to react similar to part c or d? Is there a point where it would switch over