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An industry has 100 competitive firms, each producing 20 units of output. At the current market price of $10, half of the firms have the
An industry has 100 competitive firms, each producing 20 units of output. At the current market price of $10, half of the firms have the following short-run supply curve each: q1 = 2 + 2P; the other half each has the following short-run supply curve: q2 = P. The short-run elasticity of market supply is: Select one: O a. 1/20 O b. 3/10 O c. 3/4 O d. 2/5 O e. none of the above
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