The few shows a tamey at cast cuves for a n. The subscripts 1, 2, and 3 for the SRATC curves refer to different plant sens SRATC, LRAC SRATC₂ SRATC X 2) Q₁ Q₂ Q₁ Q₂ Q₁ OA. The firm cannot produce at point C because there is no SRATC curve through this point OB. The tem may choose to remain at point B until the price of its output increases enough to justify building a new plant OC. If this firm continues to produce at point B for any period of time, it must be because it is not prolt-maximizing OD. If this tem continues to produce at point B for any period of time, it must be because it is not cost-minemizing OE There can be a significant time delay while the firm readjusts its plant size, during which tme e remains at point 8 Cost Cle