14.3 A perfectly competitive market has 1,000 firms. In the very short run, each of the firms has a fixed supply of 100 units. The market demand is given by Q= 160,000 - 10,000P.

a. Calculate the equilibrium price in the very short run.

b. Calculate the demand schedule facing any one firm in this industry.

c. Calculate what the equilibrium price would be if one of the sellers decided to sell noth ing or if one seller decided to sell 200 units.

d. At the original equilibrium point, calculate the elasticity of the industry demand curve and the elasticity of the demand curve facing any one seller.

Suppose now that in the short run, each firm has a supply curve that shows the quantity the firm will supply (

Using this short-run supply response, answer questions

(a) through

(d) above.