Market demand is given as Q_D= 60 - P.Market supply is given as Q_S= 3P.Each identical firm has MC = 3Q and ATC = 1.5Q.What quantity of output will a typical firm produce

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To find the quantity a typical firm will produce, we need to find the equilibrium price and quantity in the market. Set QD = QS: 60 - P = 3P, solving gives P = 15. At P = 15, QS = 3(15) = 45. Each firm produces where MC = P, so 3Q = 15, solving gives Q = 5.

Market Demand Is Given as QD = 60 - P

Market Demand Is Given as Q_D= 60 - P