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__PRESENT 3. (10 points) The marginal benefits (MB) and marginal cost (MC) of activity A are as follow. MB = 10 - .08571A MC =

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__PRESENT

3. (10 points) The marginal benefits (MB) and marginal cost (MC) of activity A are as follow. MB = 10 - .08571A MC = 1.5 +0.7857A a. What is the equilibrium level of A? b. What happens after that point? C. If A=6, what is the MB? MC

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