A perfectly competitive firm will continue to operate in the short run when the market price is below its average total cost if the

A) marginal revenue is greater than marginal cost.
B) price is at least equal to the minimum average variable cost.
C) total fixed costs are less than total revenue.
D) marginal cost is minimized.
E) price is also less than the minimum average variable cost.

B

Economics

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For consumers, chocolate chip cookies and doughnuts are substitutes. So, an increase in the price of chocolate chip cookies will lead to a rightward shift in the demand curve for doughnuts

Indicate whether the statement is true or false

Economics

Explain how a market demand curve is constructed

What will be an ideal response?

Economics