Final answer:
The price in a long-run equilibrium is where price equals long-run marginal cost in a competitive market but may reflect monopoly pricing when market demand is lower than the quantity produced at minimum long-run average cost and the demand is inelastic.
Step-by-step explanation:
If a firm has the following total cost function TC=10,000+200Q+5Q², where Q represents output, the price of the product in a long-run equilibrium can be determined by analyzing the behavior of costs and market conditions. In a competitive market, firms will produce where price equals the long-run marginal cost (LRMC), which is the derivative of the total cost function with respect to Q. However, if the market exhibits monopoly characteristics, such as when the total market demand is highly inelastic and lower than the quantity at which the long-run average cost is minimized, the firm will set price where marginal cost equals marginal revenue (not necessarily equal to LRMC). It should also consider the potential for monopoly pricing, which could be indicated by a lack of competition and a much smaller market demand than the output at the bottom of the long-run average cost curve.