None 10090PRICE (Dollars per shirt)807060504030202010MCATCMRDemand0010 20 30 4050 60 70 8090100QUANTITY (Thousands of shirts)+EquilibriumMin. ATC?Because this market is a price-searcher market, you can tell that it is in long-run equilibrium by the fact thatFurthermore, the quantity the firm produces in long-run equilibrium isthe efficient scale.at the optimal quantity.

Thus, the firm is producing at the amount where ATC is minimised in a long-run equilibrium for a…

Answered: 100 90 PRICE (Dollars per shirt) 80 70…

Exploring Economics

8th Edition

ISBN:9781544336329

Author:Robert L. Sexton

Publisher:Robert L. Sexton

Chapter11: The Firm: Production And Costs

Section: Chapter Questions

Problem 21P

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