Consider that Jitney is a firm that provides transportation services in a Midwestern town. As the only provider with a government permit to operate, Jitney provides service to and from the local train station, retail stores and other local destinations. To access the service, customers may call for a specific pick-up time, or wait by any curb for an unscheduled curbside pick-up. The market demand for Jitney's services is described by the equation: P = 17 - 0.025Q, where Q is the number of trips per day, and P is the price per trip.

With regular maintenance on its fleet of vehicles as well as outstanding loan payments, the firm faces a daily fixed cost of $200. In addition, Jitney's labor force includes drivers and dispatchers, and all report to work if the firm is providing service. Along with the labor force and the necessary materials needed for day-to-day operation, the firm's additional costs can be described by the equations: MC = 2 + 0.05Q and AVC = 2 + 0.025Q, where Q is the number of trips per day.

Now consider that after much lobbying and quiet protests from the county residents about unfavorable service (delays, being stranded, etc), the local government removes restrictions in this market and other car services can enter the market. After the government's actions, the market adjusts; Jitney remains dominant in the market and the new car services in the market are highly competitive. The new service providers use their private cars and typically provide 5 trips per day. The residual demand is P = 11 - 0.0125Q and the competitive supply is MC = 5 + 0.025Q.

As a result of the government's action, what is Jitney's profit at the current quantity traded? (report your numerical answer at 4 decimal places)_______________________

As a result of the government's action, how many new service providers are operating in the market? (report your numerical answer at 4 decimal places)_____________

As a result of the government's action, what is the total market quantity? (report your numerical answer at 4 decimal places)_________________

As a result of the government's action, what is the consumers' surplus at the current market outcome? (report your numerical answer at 4 decimal places)_______________________