3. A rm in a perfectly competitive industry has patented a new process for making infrared digital thermometer. The nevi.T process lowers the rm's average cost, meaning that. this rm alone {although still a price taker) can earn real economic prots in the long run. {a} If the market. price is $20 per thermometer and the rm's marginal cost is given by MO" 2 0.4:; where q is the dailyr Widget production for the rm, how many widgets 1will the rm produce? Page 2 of 3 Name: ECON 2030 A {b} Suppose a government. study has found that the rm's new process is polluting the air and estimates the social marginal cost of thermometer production by this rm to be M'C' = 0.5:; If the market price is still $20, what is the socially optimal level of production for the rm? {c} What. should be the rate of a governmentpimposed excise tax to bring about this optimal level of production? {d} Graph your results