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question 46

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​Use the following setup for the next question.
Pastry Paradise is looking to expand.It decides to take over Sweet Tooth,a competitive firm.The two firms have similar technology but different costs.Pastry Paradise has $1500 fixed costs and $1 marginal cost per unit produced.Sweet Tooth has $500 fixed costs but $5 marginal cost per unit produced.
-​If Pastry Paradise takes over Sweet Tooth,at what level of production would it be indifferent between which technology is used.


Definitions:

Pursuit

The act of following or chasing with the goal of catching or achieving something.

Structural Racism

A system in which public policies, institutional practices, cultural representations, and other norms work in various, often reinforcing ways to perpetuate racial group inequity.

Institutional Racism

Discrimination embedded within the policies, practices, and economic and political structures of a society, disproportionately affecting minority groups.

Psychological Issue

Refers to mental or emotional conditions that impact an individual's thinking, feeling, mood, or behavior.

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