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Compute the efficient output

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The pharmaceutical company ANTIVIRUS has just discovered a new type of Covid-19 test and has the monopoly over the market. The demand faced by the monopolist is linear and given by: P = 21 - 5*Q and the marginal revenue MR =21 - 2 *5*Q. The cost of production is TC = 3*Q. Compute the efficient output - defined as the output that would have been produced under competition.

Reference no: EM132548801

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