Widgets are provided by a constant-cost industry where each firm has fixed costs

Widgets are provided by a constant-cost industry where each firm has fixed costs of $9. The industry is currently in long run equilibrium. The following charts show the industry-wide demand curve and a typical firm’s marginal cost curve:DemandPrice Quantity$5 7006 65010 60011 40014 37515 36018 30020 200MarginalCostQuantity MC1 $52 63 104 115 146 157 188 20Suppose the government imposes a new sales tax of $5 per widget.a) In the short run, what is the new price of a widget?b) In the long run, how many firms enter or exit the industry?You must show enough work so we can see how you got your answers!

Order your essay today and save 30% with the discount code: KIWI20