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Observe the Short-Run Loss information il- lustrated in the graph to the right. With respect to Price [P*], Average Variable Cost (MIC), Average Total Cost

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Observe the Short-Run Loss information il- lustrated in the graph to the right. With respect to Price [P*], Average Variable Cost (MIC), Average Total Cost (ATE), Marginal Revenue (MR), and Marginal Cost (MC), what assumption would you make if the firm was selling its product at P\"? Notice that MR = P*. What would happen if this were to continue in the long run? Is there a Shut Down point? PRICE [1* QUANTITY

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