A perfectly competitive firm will produce at an economic loss in the short run rather than discontinue production if there is a rate of output at which
a. marginal revenue equals marginal cost
b. total revenue equals total cost
c. total revenue exceeds total cost
d. total revenue exceeds total fixed cost
e. total revenue exceeds total variable cost
E
Economics
You might also like to view...
Recall the Application. As the world price of wool decreased, the quantity of wool supplied by individual ranchers would ________, and the quantity supplied in the whole market would ________
A) decrease; increase B) increase; decrease C) increase; increase D) decrease; decrease
Economics
Why is opportunity cost a ratio?
What will be an ideal response?
Economics