Answer should be handwritten and briefly please to understand and Thanks

1. [PERFECTLY COMPETITIVE MARKET] (25 marks) Suppose the marijuana growing industry in Canada is perfectly competitive and there is free entry in the long run. The market demand function is Q - 580 - 4P, which is measured in tons per month. Each producer in the industry has cost function given by TC = 2q2 + 5q + 200, where q is the output of an individual producer. (a) (2 marks) What is the average cost function and marginal cost function of an individual producer? (b) (3 marks) If there are 20 firms in the economy, calculate the short-run equilibrium price. (c) (2 marks) Is the economy in (b) in the long-run equilibrium? Why or why not? (d) (6 marks) If the economy is not in the long-run equilibrium, calculate the long-run market equilibrium price and quantity. (e) (7 marks) Suppose the marginal cost increases by $2 from the long-run equilibrium. At the same time the market demand increases to Q = 620 - 4P . Calculate the new short-run market equilibrium price and quantity. (f) (5 marks) Draw a graph to show the short-run and long-run response of the economy. Mark the short-run and long-run equilibrium price and quantity clearly on the graph