Suppose that in Worked-Out Problem 8.4 (page 261), the cost function at plant 2 was and the

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Suppose that in Worked-Out Problem 8.4 (page 261), the cost function at plant 2 was and the marginal cost at the plant was . What would be the best assignment of output between the two plants?

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Microeconomics

ISBN: 978-1118572276

5th edition

Authors: David Besanko, Ronald Braeutigam

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Question Posted: Mar 18, 2016 04:46 AM

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Suppose that in Worked-Out Problem 8.4 (page 261), the cost function at plant 2 was and the

Question:

C(Q2) = 650Q2 +2(Q2)?

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The cost function at plant 1 is and the corresponding marginal cost is Noah and Naomi should produce ...View the full answer

Microeconomics

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