Suppose a perfectly competitive firm's minimum average variable cost is $3 when it produces 50. If the price is $2 and the firm's marginal cost is $2, the firm should
A) continue to produce, but produce more than 50.
B) continue to produce 50.
C) continue to produce, but produce less than 50.
D) shut down.
E) continue to operate, but to determine the amount of production needs more information than is given.
D
Economics
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An increase in people's expected future disposable income ________ saving supply, and the supply of loanable funds curve ________
A) decreases; shifts rightward B) does not change; does not shift C) increases; shifts rightward D) increases; shifts leftward E) decreases; shifts leftward
Economics
Refer to the graphs shown. The market is caviar. Which graph best represents the impact of an increase in consumer incomes on the market for caviar?
A. Graph a B. Graph b C. Graph c D. Graph d
Economics