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Consider a firms that owns two plants, A and B, whose cost of producing goods is given by the following supply curves: MC A =

Consider a firms that owns two plants, A and B, whose cost of producing goods is given by the following supply curves:

  • MCA = 5 + 2Q
  • MCB = 3Q

Draw three graphs side by side. On the first two, plot each plant's supply curve. On the third, plot the aggregate supply curve for the firm.

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