supply, demand and price equilibrium in perfect competitive market
I'm having trouble to calculate the following problems. if any one can, please help!!!
" The Market for good X is perfectly competitive. the demand and supply functions of good X are given as follows:
Qd= 6000 - 30P
Qs= -500 +20 P
Where Qd is quantity demanded in thousands units, Qs is quantity supplied in thousands units, and P is the price in dollars for good X. All firms in the market are identical. The market is in long-run equilibrium and there are 1,000 firms producing good X under thsi initial long-run equilibrium.
a) What are the equilibrium market price and market quantity for good X?
b) what is the out put of each firm in the initial long-run equilibrium?
Now suppose the government gives an $8 per-unit subsidy to the consumers for each unit of good X consumed.
c) after the provision of the per-unit subsidy to the consumers, what are the short-run equilibrium market price and market quantity for good X?
d) Out of the $8 per-unit subsidy to the consumers, what are the short-run equilibrium market price and market quantity for good X?
e) What are the long-run equilibrium market price and market quantity for good X?
f) Out of the $8 per-unit subsidy of good X, how much is the share received by the consumers in the long run?
g) Explain whether the number of firms in the new long-run equilibrium is larger or smaller than 1,000 and whether the new long-run equilibrium market output is larger or smaller than the initial level. "
