Refer to the graph shown of average costs for a typical firm. The lowest per-unit costs for the industry could be achieved if:
A. one firm produced 1,000 units of output.
B. one firm produced 333 units of output.
C. three firms each produced 333 units of output.
D. two firms each produced 500 units of output.
Answer: A
Economics
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Does the Nash equilibrium yield maximum profit?
a. Yes, because they are each getting the maximum payoff b. No, because they could do better by pricing high c. Yes, because they are both making sales d. No, because they both hate selling ice cream
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