When marginal cost and marginal revenue both rise, what action should a firm take?

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The firm ought to raise production levelsThe firm should lower its outputAdditional details are needed to determine the appropriate responseThe firm should maintain its current output

Explanation

Since both marginal cost and marginal revenue are increasing, it is unclear whether the firm should increase or decrease output without knowing the relative rates of change or other market conditions. Therefore, more information is necessary to decide the best course of action.