An industry has 1000 competitive firms, each producing 50 tons of output

Economics Dec 12, 2020

An industry has 1000 competitive firms, each producing 50 tons of output. At the current market price of $5, half of the firms have a short-run supply curve with a slope (change in quantity/change in price) of 1; the other half each have a short-run supply curve with slope 2. The equation for the aggregate supply curve is Q _ = P + _

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