A Firm That Is Earning Positive Profits in the Short

question 246

Multiple Choice

A firm that is earning positive profits in the short run has an incentive to ________ its scale of operation in the long run.

• A) expand
• B) contract
• C) not change
• D) encourage another firm to expand

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Definitions:

Plant-Rich Swamp

Wetland ecosystems characterized by the abundance of vegetation, particularly various types of plants, often found in low-lying areas.

Yellowish-Tan Sandstone

Yellowish-tan sandstone is a specific variety of sandstone that exhibits a pale yellow to tan color, indicating the presence of certain minerals and iron compounds.

Steep Mountain Front

The abrupt transition from a mountain's slope to the relatively flat terrain, typically indicating tectonic activity or erosion processes.

Deepest Marine Water

The section of the ocean that is furthermost below sea level, often located in ocean trenches.