The following table gives quantity supplied and quantity demanded at various prices in the perfectly competitive meat-packing market:

Assume that each firm in the meat-packing industry faces the following cost structure:
Pounds                 TC___
60,000 .............$110,000
61,000 .............$111,000
62,000 .............$112,000
63,000 .............$115,000
a. What is the profit-maximizing output level for the typical firm?
b. Is this market in long-run equilibrium? Why or why not?
c. What do you expect to happen to the number of meat-packing firms over the long run?Why?

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0s (in millions of lbs.) 100 90 Price (per lb.) $1.00 $1.25 $1.50 $1.75 $2.00 $2.25 10 15 25 40 63 65 40