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The Market for Sweet Potatoes Consists of 1,000 Identical Firms

question 36

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The market for sweet potatoes consists of 1,000 identical firms.Each firm has a short-run total cost curve of STC = 100 + 100 q + 100q2,and a short-run marginal cost curve of SMC=100+200q,where q is output.Suppose that sunk costs are 75 and non-sunk costs are 25.What is the equation of an individual firm's average non-sunk cost curve?


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