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Suppose That All the Firms in a Given Market Can

Question 1

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Suppose that all the firms in a given market can be characterized by the cost structure illustrated in the figure on the left.If market demand is as indicated in the figure on the right, the number of firms required to support long run equilibrium is: Suppose that all the firms in a given market can be characterized by the cost structure illustrated in the figure on the left.If market demand is as indicated in the figure on the right, the number of firms required to support long run equilibrium is:     A) 90. B) 100. C) 110. D) 120. E) some number greater than 50 that cannot be determined with the information provided. Suppose that all the firms in a given market can be characterized by the cost structure illustrated in the figure on the left.If market demand is as indicated in the figure on the right, the number of firms required to support long run equilibrium is:     A) 90. B) 100. C) 110. D) 120. E) some number greater than 50 that cannot be determined with the information provided.


A) 90.
B) 100.
C) 110.
D) 120.
E) some number greater than 50 that cannot be determined with the information provided.

Correct Answer:

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