Consider the Following Model for the Production of Refined Oil

question 34

Multiple Choice

Consider the following model for the production of refined oil: MSC = 10 + 0.5Q; MEC = 0.3Q;
MSB = 30 - 0.3Q; MEB = 0. Use these relationships to answer any or all of Questions.
-According to these relationships, the competitive output level arises where

• A) Q_C = 25
• B) Q_C = 20
• C) Q_C = 40
• D) none of the above

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