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4. Electric utility companies usually operate their most modern

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4. Electric utility companies usually operate their most modern and efficient equipment continuously (i.e around the clock) and use their older and less efficient equipment only to meet periods of peak electricity demand.
     4(a) Will the short-run marginal cost decrease or increase?
      4b) Why do these firms not replacxe all their older equipement with new equipment in the long run?
Submitted: 8 years ago.
Category: Homework
Expert:  ResearchPro replied 8 years ago.
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