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Profit-Maximizing output ■ Decision ru|e n is maximized when mr= mo ( think: why? profit is maximized at the quantity of output where the marginal revenue of the last unit produced is equal to its marginal costProfit-Maximizing Output ◼ Decision rule: is maximized when MR = MC (think: why?) profit is maximized at the quantity of output where the marginal revenue of the last unit produced is equal to its marginal cost
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