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In the local cotton market, there are 1000 producers that have identical short-run cost functions. They are: C(q)=0.025q^2+200, where q is the number of bales
In the local cotton market, there are 1000 producers that have identical short-run cost functions. They are: C(q)=0.025q^2+200, where q is the number of bales produced each period. The short- run marginal cost function for each producer is : MC(q)=0.05q. If the local cotton market is perfectly competitive, what is each cotton producer's short-run supply curve? Derive the local market supply curve of cotton.
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