1. Suppose a perfectly competitive market is composed of 100 identical sellers (price-takers). Each individual seller faces the following private marginal costs of production: Quantity 1 2 3 4 ' 5 6 7 Cost a. If the price of the good is $100, how many units would this firm produce? How many would be produced in the market? b. If the price of the good is $120, how many units would this rm produce? How many would be produced in the market? c. If the price of the good is $140, how many units would this firm produce? How many would be produced in the market? d. Suppose the table below gives the points along the market demand curve for this good. Price n_ Quantity 300 400 500 700 800 Demanded Given all the information above, what will be the equilibrium price and quantity in this perfectly competitive market? e. Now suppose that each unit produced by these rms creates waste which negatively affects others in the economy by an amount equal to $40 for each unit produced. lf rms in this market considered the social costs of production when deciding output, rather than the private costs, what would be the equilibrium price and quantity? f. How does this price and quantity compare to the outcome when only private costs were considered? g. List 2 ways the government could get these rms to consider the social costs of production when deciding their output levels