Now assume that the market for JAMS is a perfectly competitive market and that demand in this market is given byP

d

=3001

2

Q

d

Pd=30012Qd.Further assume that supply in this market is given byP

s

=60+Q

s

Ps=60+Qs.Now assume that Trendsetting Tavares owns one of the firms in the JAMS market and his Marginal Cost and Total cost functions are given below.

MC=60+4qTotalCost=60q+2q

2

MC=60+4qTotalCost=60q+2q2

How many companies will there be in the JAMS market given current market conditions and the current cost structure given?