Given the attached problem, what would be the average cost equation for technology 1 and technology 2? Technology 1 options: AC1 (q)=1. 1+ 8q2. 1+4q3. 1+ 4q + (32/q)4. 1+ 2q + (32/q)5. None of these Technology 2 options: AC2(q)=1. 1+ 8q2. 1 + 4q + (32/q)3. 1 + 2q + (32/q)4. 1+ 4q5. None of these

Despondent over the Red Sox's terrible season, Prof. Gruber decides to quit his day job and start a bicycle manufacturing firm in Kendall Square. As he starts looking into the bicycle manufacturing industry, he realizes it has some interesting features. First, he realizes that it operates as a competitive industry. Second, he finds that there are two technologies used by firms in the industry. Technology 1 uses solar power, and has a cost function C' (q) = q + 4q' + 32 for q > 0. Technology 2 uses electricity from the grid and is more efficient, with a cost function C2 (q) = q + 2q + 32 for q > 0. Assume that we are in the long run, so firms using both technologies can shut and leave the market at 0 cost, so that C (0) = 0 for both technologies