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The market demand function for product of a monopolist with the total cost function
TC(Q) = 2Q3-10Q2+ 30Q + 100 is given by
P = 65000 - 8jQ
(a) Find the firm's profit-maximizing level of output and price.
(b) Assume the economy experiences a severe recession and the demand for the monopolist's product declines to the level that the firm can only earn a normal profit. Determine the normal profit price and quantity and the equation of the dislocated demand function.
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Define analytically the firms' strategies
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Free entry in a perfectly competitive industry results in the industry's firms earning zero economic profit in the long run, except for the most efficient producers, who may earn economic rent.
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Is there any additional information that would help you to provide a definitive answer
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