(Solved): 3. (8 Points) Suppose we have the perfectly competitive market for Good X and Firm A, one of many ...

3. (8 Points) Suppose we have the perfectly competitive market for Good X and Firm A, one of many small firms in that market. They are both described in the graphs below. a. What price will this firm charge? Briefly explain why. b. Draw this firms demand curve on the "Firm A" graph. c. How many units of Good \( \mathrm{X} \) will this firm produce? Briefly explain why. d. What profits will this firm earn in the short run? e. In 1-2 sentences explain why this perfectly competitive firm will earn zero profits in the long run. Show how this happens on both the market and firm graphs above. f. In the long run, what will the price of this product be?