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  • The Market Supply Curve as the Market's Marginal Cost Curve

Interpreting Market Supply Curve Prices

Based on the market information provided, explain what the price of 150signifiesintermsofthemarket′sproductioncostsforthe100thchair.Furthermore,whatdoesthepriceof150 signifies in terms of the market's production costs for the 100th chair. Furthermore, what does the price of 160 imply about the production costs of the additional 10 chairs supplied at that higher price?

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