A firm observes that in order to minimize the average cost,it must produce 25,000 units of output.Suppose the government imposes a specific tax on the output of the firm.Will the output level required to minimize the average cost increase,decrease,stay the same or is it uncertain? Can you tell how much the minimum average cost will change by? Explain.

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The Answer of A firm observes that in order to minimize the average cost,it must produce 25,000 units of output.Suppose the government imposes a specific tax on the output of the firm.Will the output level required to minimize the average cost increase,decrease,stay the same or is it uncertain? Can you tell how much the minimum average cost will change by? Explain.

A Firm Observes That in Order to Minimize the Average