hi please help !!!The handmade snuffbox industry is composed of 100 identical ?rms each having short-run total costs given by STC = 0.5q2 10q 5 and short-run marginal costs given by SMC = q 10 where q is the output of snuffboxes per day.a. What is the short-run supply curve for each snuffbox maker? What is the short-run supply curve for the market as a whole?b. Suppose the demand for total snuffbox production is given by Q = 1 100 – 50P.What will be the equilibrium in this marketplace? What will each ?rm’s total short-run pro?ts be?c. Graph the market equilibrium and compute total short-run producer surplus in this case.d. Show that the total producer surplus you calculated in part (c) is equal to total industry pro?ts plus industry short-run ?xed costs.e. Suppose the government imposed a $3 tax on snuffboxes. How would this tax change the market equilibrium?f. How would the burden of this tax be shared between snuffbox buyers and sellers?g. Calculate the total loss of producer surplus as a result of the taxation of snuffboxes. Show that this loss equals the change in total short-run pro?ts in the snuffbox industry. Why do ?xed costs not enter into this computation of the change in short-run producer surplus?
