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Assume a perfectly competitive, constant-cost industry. In 2025, it is at long-run equilibrium: a market price of 81000 with each rm producing 100,000 units per
Assume a perfectly competitive, constant-cost industry. In 2025, it is at long-run equilibrium: a market price of 81000 with each rm producing 100,000 units per period. On January 1,2026, the government implements a 3100 perunit subsidy, payable to the buyers. At the new shortrun equilibrium, the market price is and each rm produces 100,000 units. 0 81000; exactly 0 between $1000 and 31100; exactly 0 between 81000 and 81100; less than 0 between 21000 and 81100; greater than 0 31100; less than C) 81100; exactly 0 81100; greater than
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