Suppose Ginger's Spice Company sells paprika in a perfectly competitive market and is producing her profit-maximizing level of output. Suppose further that at this level of production her average fixed cost of producing one kilo of paprika is $8, her average variable cost is $18, and her marginal cost is $25. Over time, there will be. in the number of sellers of paprika, everything else held constant. Select one: O A a decrease O B. an increase O C. no change
Suppose Ginger's Spice Company sells paprika in a perfectly competitive market and is producing her profit-maximizing level of output. Suppose further that at this level of production her average fixed cost of producing one kilo of paprika is $8, her average variable cost is $18, and her marginal cost is $25. Over time, there will be. in the number of sellers of paprika, everything else held constant. Select one: O A a decrease O B. an increase O C. no change
Micro Economics For Today
10th Edition
ISBN:9781337613064
Author:Tucker, Irvin B.
Publisher:Tucker, Irvin B.
Chapter8: Perefect Competition
Section: Chapter Questions
Problem 5SQP
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![Suppose Ginger's Spice Company sells paprika in a perfectly competitive market and is producing
her profit-maximizing level of output. Suppose further that at this level of production her average
fixed cost of producing one kilo of paprika is $8, her average variable cost is $18, and her marginal
cost is $25. Over time, there will be in the number of sellers of paprika, everything else held
constant.
Select one:
O A. a decrease
OB. an increase
O C. no change](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fefe536e8-01dd-44d4-8bc6-3508864734c5%2F17ea1772-5983-4c64-9003-179884686be3%2F21hzxmb_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Suppose Ginger's Spice Company sells paprika in a perfectly competitive market and is producing
her profit-maximizing level of output. Suppose further that at this level of production her average
fixed cost of producing one kilo of paprika is $8, her average variable cost is $18, and her marginal
cost is $25. Over time, there will be in the number of sellers of paprika, everything else held
constant.
Select one:
O A. a decrease
OB. an increase
O C. no change
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