A competitive firm will shut down its operations in the short run when the market price falls below its

Refer to Figure 15-2. If the firm's average total cost curve is ATC2, the firm will

A) suffer a loss. B) break even. C) make a profit. D) face competition.

Referring to the graph above, assume that, at first, the labor market is in equilibrium at point 4. In which scenario does unemployment rise, with no change in the quantity of employment?

A) real wage rises to the level of points 1 and 2 B) supply shifts to pass through point 5, with no change in the real wage C) demand shifts to pass through point 3, with no change in the real wage D) supply shifts to pass through point 3, with no change in the real wage