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17 May, 23:31

Imagine you are the owner of a natural gas company. You can either extract as much of the resource as fast as possible or delay extraction until a future time. Projections indicate that the price of natural gas is expected to fall in the future. What would you do in the present?

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  1. 17 May, 23:44
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    sell as little natural gas as possible in the present and delay extraction until the future - reflected by a leftward shift of the current supply curve.

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