For commodity x average cost is equal to marginal cost at, Finance Basics

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For commodity x average cost is equal to marginal cost at

Question: For commodity X, average cost is equal to marginal cost at every level of output Assuming that the market for Xis competitive and the demand curve is linear, analyze the effects when a unit tax of a dollars is imposed. Now analyze the effects of the same tax assuming that the market for X is a monopoly. Discuss the differences.

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Finance Basics: For commodity x average cost is equal to marginal cost at

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Finance Basics: For commodity x average cost is equal to marginal cost at

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