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2. Taking input prices as given, consider the following cost functions: C(91,92) = C(q1,0) C(0,92) = = F + cq1cq2992; F > 0, c

 

2. Taking input prices as given, consider the following cost functions: C(91,92) = C(q1,0) C(0,92) = = F + cq1cq2992; F > 0, c > 0, > 0 F1 + cq1; F> 0 F2c92; F2 > 0 Assume that F1 + F2 < F. Derive the conditions under which the production will exhibit economies of scope. 1

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