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EN-US Market Price of video games = $ 4 0 . A perfectly competitive firm A sells 1 0 0 0 video games at the
EN-US Market Price of video games = $ 4 0 . A perfectly competitive firm A sells 1 0 0 0 video games at the market price. The Average Fixed cost is $ 3 0 and Average Total cost is $ 5 0 , a . How much is the total number of video games available in the industry? Is the firm making a profit or loss in the short run? Calculate Profit / Loss . b . Will the firm operate or shut down in short run? c . What will happen in the long run? Will new firms enter the market? What will happen to the total number of video games supply in the market? What will happen to the market supply curve? WIII it shift right or left? d . Find the final price of video games in the market
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