Question: What is wrong with the following reasoning on the part of factory manager? My plant is working steadily at its most efficient output. Nevertheless, I

What is wrong with the following reasoning on the part of factory manager? "My plant is working steadily at its most efficient output. Nevertheless, I could always meet a short run surge in demand simply by running the machines a little faster and deferring maintenance. So, in the short run my marginal cost is practically zero."

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