The above figure shows a firm in monopolistic competition. At the profit maximizing level of output
A) the firm is making a positive economic profit.
B) the firm incurs an economic loss.
C) the firm is making zero economic profit.
D) this firm would choose to shut down in the short run.
C
Economics
You might also like to view...
Assume that an economy is in equilibrium with a budget deficit of $130 billion, positive net exports of $453 billion, and savings equal to $1,550 billion. If taxes are zero, then planned investment spending must be equal to:
a. $1,550 billion. b. $130 billion. c. $1,873 billion. d. $1,227 billion. e. $967 billion.
Economics
In Figure 15.2, at an interest rate of 9 percent, there is
A. An excess supply of money of $100 billion. B. An excess supply of money of $200 billion. C. Equilibrium in the money market. D. An excess demand for money of $100 billion.
Economics