In the short run, if a firm shuts down, its loss is equal to
a. $0
b. its variable costs
c. its fixed costs
d. fixed costs minus variable costs
e. fixed costs minus total revenue
C
Economics
You might also like to view...
If firms in a duopoly can successfully collude
A) each firm can earn an economic profit. B) the industry, that is, both firms taken together, can earn the maximum economic profit. C) the firms achieve a cooperative equilibrium. D) All of the above answers are true.
Economics
As long as P>AVC, a monopolist maximizes profit by producing the quantity at which
a. MC=P. b. MC=MR. c. MR=P. d. MR=ATC.
Economics