Suppose the firm in the figure above is perfectly competitive. Its long run price isequal to5МС АТСMC1MR102030405060Quantity (units per day)O A. $1.OB. $2.OC. $3.D. more than $3.3.2.Price and costs (dollars per unit)

The given figure represents the case of a perfect competition market. This is a market structure…

Answered: 10 20 30 40 50 60 Quantity (units per…

Business

Economics

10 20 30 40 50 60 Quantity (units per day)

Principles of Economics 2e

2nd Edition

ISBN:9781947172364

Author:Steven A. Greenlaw; David Shapiro

Publisher:Steven A. Greenlaw; David Shapiro

Chapter8: Perfect Competition

Section: Chapter Questions

Problem 7SCQ: If new technology in a perfectly competitive market brings about a substantial reduction in costs of...

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Question

Suppose the firm in the figure above is perfectly competitive. Its long run price is
equal to
5
МС АТС
MC
1
MR
10
20
30
40
50
60
Quantity (units per day)
O A. $1.
OB. $2.
OC. $3.
D. more than $3.
3.
2.
Price and costs (dollars per unit)

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