Economics 9708 · AS & A Level · 7.7

7.7 — practice question

Steel producer X acquires its chief rival, steel producer Y. As a consequence of this takeover, what would X anticipate happening to the average revenue from its product and to its long-run average cost?

  • Adecrease / decrease
  • Bdecrease / increase
  • Cincrease / decrease
  • Dincrease / increase

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