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ttools ttools
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A year ago
When a monopolistically competitive industry is in long-run equilibrium, the excess capacity in an individual firm is indicated by the difference between

▸ zero and the output at which the demand curve is tangent to the ATC curve.

▸ price and marginal cost.

▸ the output at which ATC is at a minimum and the output at which price equals marginal cost.

▸ price and average cost.

▸ the output at which ATC is at a minimum and the output at which marginal revenue is equal to marginal cost.
Textbook 
Microeconomics

Microeconomics


Edition: 17th
Author:
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chanelfargesenchanelfargesen
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A year ago
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