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Suppose there are a large number of firms in this industry and this is the graph of an individual firm in the market. This graph
Suppose there are a large number of firms in this industry and this is the graph of an individual firm in the market. This graph best represents the market structure of
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. The firm will select its profit maximizing quantity by setting
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at a quantity of
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, sets/accepts a price of
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, and has
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.
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