A Firm Will Shut Down in the Long-Run If the

question 109

Multiple Choice

A firm will shut down in the long-run if the

• A) price is above the minimum average total cost (ATC).
• B) price is equal to the minimum average total cost (ATC).
• C) price is anywhere above the minimum average variable cost (AVC).
• D) price is anywhere below the minimum average total cost (ATC).
• E) firm is making zero economic profits.

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Definitions:

Free Association

A psychoanalytic technique in which a patient says whatever comes to mind without censorship as a way to explore the unconscious.

Intrusive Thoughts

Unwanted and distressing thoughts, images, or urges that suddenly enter the mind, often causing significant anxiety or discomfort.

Memories

Mental representations of past experiences that are recalled by the brain, playing a crucial role in identity, learning, and decision-making.

Behavior Therapist

A mental health professional who uses techniques based on behavioral and cognitive science to treat psychological distress.