Question: A monopolistic competitive firm has demand and cost curves given by: QD = 1000 - 2P TC = 5,000 + 50Q a. At what price

A monopolistic competitive firm has demand and cost curves given by:
QD = 1000 - 2P
TC = 5,000 + 50Q
a. At what price should this firm sell its product?
b. What do you think would happen as the firm moves toward the long run? Explain.

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