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a. Assume that the market price is $3.25 per cup of coffee. From the choices in the table above (stick to whole cups of coffee),
a. Assume that the market price is $3.25 per cup of coffee. From the choices in the table above (stick to whole cups of coffee), what is the rm's optimal output\"? (him: calculate the MCfor each unit). b. What is their prot} loss at this level? c. Should the cafe produce or shut down in the short run? Explain. d. to the short run, indicate how the following would affect the caf's optimal output choice and prot (eg. increase, decrease, or no change)? i. A head tax payable per employee? ' ii. A decrease in a tax on prots? e. In the long run, would you expect price to rise or fall in this competitive industry? Why
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