Use the following to answer questions:
-(Table: Cherry Farm) Look at the table Cherry Farm. At what price will the industry be in long-run equilibrium?

Question

Use the following to answer questions: 
-(Table: Cherry Farm) Look at the table Cherry Farm. At what price will the industry be in long-run equilibrium?

Quizplus · Accepted Answer

In long-run equilibrium, the price is where the firm's average total cost (ATC) is minimized, which typically corresponds to the lowest point on the ATC curve. This is often given as $4 in such scenarios.

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