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Suppose There Are 100 Firms Each with a Short Run q=0.5(P1)q = 0.5 ( P - 1 )

Question 23

Multiple Choice

Suppose there are 100 firms each with a short run total cost of STC = q2 + q + 10,so that marginal cost is MC = 2q +1.The short-run supply curve for each firm is


A) q=0.5(P1) q = 0.5 ( P - 1 )

B) q=P3q = \sqrt { P } - 3
C) q=P1+1/Pq = P - 1 + 1 / \sqrt { P }

D) q=p1q = p - 1

Correct Answer:

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