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Suppose that for each firm in the competitive market for potatoes, long-run average cost is minimized at $2 per pound when 100 pounds are grown.
Suppose that for each firm in the competitive market for potatoes, long-run average cost is minimized at $2 per pound when 100 pounds are grown. The demand for potatoes is D(p) = 12,000/p. If the long-run supply curve is horizontal, then how many firms will this industry sustain in the long run?
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