a) Using the conventional symbols (D, S, P, Q, MC, MR), define and discuss all the six

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a) Using the conventional symbols (D, S, P, Q, MC, MR), define and discuss all the six relations that constitute the economic equilibrium problem.

b) Explain why the relation D>S is not an equilibrium condition.

c) Explain why the relation (MC < MR) is not an equilibrium condition.

d) Explain the meaning of “free good.”

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