The Following Graph Depicts the Various Cost Curves for a Representative

question 15

Multiple Choice

The following graph depicts the various cost curves for a representative competitive firm producing quantity Q1:

-Refer to the above graph to answer this question.If the price of the product is P1,what does the graph suggest?

• A)The firm is making economic profits in the short run but not in the long run.
• B)The firm is making economic profits in the long run but not in the short run.
• C)The firm is making economic profits in both the short run and the long run.
• D)The firm is not making economic profits in either the short run or the long run.

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Definitions:

Physiological Memory

The body's ability to retain and recall physical sensations and responses.

Working Memory

A cognitive system responsible for temporarily holding information available for processing, key in reasoning and the guidance of decision-making and behavior.

Short-Term Memory

A limited capacity store that can maintain unrehearsed information for about 20 to 30 seconds.

Google Effect

The tendency to forget information that can be easily found using internet search engines like Google, affecting how memory is managed.