QUESTION 10

A market is in perfect competition with the market demand curve Q_D=800-400P.Theshort-run market supply curve is Q_S= 600P. There are 100 firms in the market. Each firm in this market therefore faces the following individual demand curve (where P is graphed on the vertical axis and Q is graphed on the horizontal axis):

A) P = 2 - 0.000025Q

B) P = 2 - 0.0025Q

C) P =$0.80

D) P = 0.8-0.001Q

E) P = 0