In the short run, in a perfectly competitive market, a firm will shut down if
A) P < AVC for all levels of output.
B) P < ATC for all levels of output.
C) ATC > P > AVC for all levels of output.
D) P > AFC for all levels of output.
A
Economics
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A given increase in demand will raise the equilibrium quantity exchanged: a. unless supply is perfectly inelastic
b. more in the long run than in the short run. c. in the market for normal goods. d. all of the above
Economics
The derived demand for an input decreases when
A. the price of the input increases. B. the price of the output increases. C. the price of the input decreases. D. the price of the output decreases.
Economics