Study the Graph Below and Answer the Following Questions

question 28

Essay

Study the graph below and answer the following questions. (a) Is this firm making profit by producing 500 units in the short run? Why or why not?
(b) What will happen in the long run in this industry?
(c) Will the firm survive in this industry?

---

Definitions:

Infant Mortality Rate

Proportion of babies born alive who die within the 1st year.

SIDS

Sudden Infant Death Syndrome, an unexplained death, usually during sleep, of a seemingly healthy baby less than a year old.

Birth Defects

Anomalies present at birth that can cause physical or mental disability, some of which may be life-threatening or require surgical intervention.

Low-Birth-Weight

A term used to describe newborns weighing less than 2500 grams (5 pounds, 8 ounces) at birth.