use the following figure which show the situation facing a prooducer of running shoes to work problems 5 to 10
0 19 in MyEconlab Chapter 14 Study Plan and get instant feedback.1 14.1)Use the following figure, which shows the situationfirmsfacing a producer of running shoes, to work Problemsur5 to 10.10060ioPrice and cost (dollars per pair)40ment20XATC80Impers itmpleMR050100150 200 250Quantity (pairs of running shoes per week)5. What quantity does the firm produce, what pricedoes it charge, and what is its economic profit orns 3economic loss?6. In the long run, how does the number of firmshed aproducing running shoes change?weat-In the long run, how does the price of runningvershoes and the quantity the firm produces change?erWhat happens to the market output?firm,Does the firm have excess capacity in the longas norun? If the firm has excess capacity in the longdulerun, why doesn’t it decrease its capacity?In the long run, compare the price of a pair ofrunning shoes and the marginal cost of produc-ing the pair.O10. Is the market for running shoes efficient or inef-ficient in the long run? Explain your answer.11. Wake Up and Smell the Coffeethat Starbucks made over the past
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