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Answer to Question #140259 in Microeconomics for Ethel Banda

Question #140259
How to graphically show the allocation of output between 2 plants in perfect competition
1
Expert's answer
2020-10-29T07:06:31-0400

The firm either produces the same amount of output in both plants if the marginal cost (MC) in each plant is the same, or the firm produces all its output in one plant only, if the MC of this plant is lower.


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