Question: Consider estimation of a short - run average variable cost function of the form AVC = a + bQ + cQ 2 Using time -

Consider estimation of a short-run average variable cost function of the form
AVC = a + bQ + cQ2
Using time-series data, the estimation procedure produces the following computer output: [8 Points]
a. Do the parameter estimates have the correct signs? Are they statistically significant at the 5 percent level of significance? -1 Point
b. At what level of output do you estimate average variable cost reaches its minimum value? -1 Point
c. What is the estimated marginal cost curve? -2 Points
d. What is the estimated marginal cost when output is 1,000 units? -1 Point
e. What is the estimated average variable cost curve? -1 Point
f. What is the estimated average variable cost when output is 1,000 units? -2 Points

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