1.

There are three identical firms in the market. The following table shows the supply schedule of a firm : Price (₹)Supply (Units) 00 11 22 34 46 58 610(1) Define market supply (2) Compute market supply schedule (3) Draw market supply curve

Answer»

(1) The output level that firms in the market produce in aggregate, corresponding to different values of market prices. 

(2) 

PriceSupply(1)Supply(2)Supply(3)Market Supply
00000
11113
22226
344412
466618
588824
610101030

(3) Draw a market supply curve that slopes upwards corresponding to the above values.



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