There are now companies in a market that all take the price for granted. They each have a cost function on:

C(y):=F+ (1/(1 + ))*y^((1+)/) where > 0 and F> 0. F are the fixed costs of the individual company and they must be paid whether the company chooses to produce or not. There is a demand function in the market of: D (p) = A/p^()

Find the Equilibrium Price, pLS (Long Term).

1-) What is the elasticity of the equilibrium price with respect to A, ie what is:( p/A)*(*A/*p) 2-) What is the elasticity of pLS with respect to A. How is your response different from your response in sp o ergsmaal 2.5? What is different? 3-) Draw the demand curve, the supply curve in the short term (ie for given / exogenous n) and the long-term supply curve (ie for endogenous n) in a diagram with p up the second axis and Y out of fo ers.