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SRATCI SRATC10 MC1 16 MC10 - - 15- 14 SRATCE SRATCT 12 - - -L MC MC7 'LRATC 20,000 60,000 100,000 160,000 200,000 260,000 300,000

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SRATCI SRATC10 MC1 16 MC10 - - 15- 14 SRATCE SRATCT 12 - - -L MC MC7 'LRATC 20,000 60,000 100,000 160,000 200,000 260,000 300,000 340:000 The market price is $10. If the typical firm in the industry is producing the profit maximizing output level with plant 10. None of these answers is correct O The firm has no incentive to change the plant size The firm has an incentive to decrease the plant size The firm has an incentive to increase the plant size Next

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