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In the absence of government interference there is a

In the absence of government interference, there is a constant marginal cost of $5 per ounce for growing marijuana and delivering it to buyers. If the probability that any shipment of marijuana is seized is 0.20 and the fine if a shipper is caught is $20 per ounce, what is the equilibrium price for marijuana?

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Business Economics: In the absence of government interference there is a

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