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Given a Linear Supply Function of the Form QXS =

Question 86

Multiple Choice

Given a linear supply function of the form QXS = 3,000 + 3PX − 2Pr − Pw,find the inverse linear supply function,assuming Pr = $1,000 and Pw = $100.


A) QXS = 900 + 3PX
B) PX = 300 + 0.3333QX
C) PX = −300 + 0.3333QX
D) PX = 2,900 + 3PX

Correct Answer:

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