Figure 16-1

question 343

Multiple Choice

Figure 16-1. The figure is drawn for a monopolistically competitive firm.

-Refer to Figure 16-1.Suppose ATC = $18 when Q = 12.Then the

• A) firm is in a long-run equilibrium when it produces 12 units of output.
• B) firm is in a long-run equilibrium when it produces 16 units of output.
• C) best the firm can do is sustain a loss of $24.
• D) best the firm can do is earn a profit of $48.

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Regulations and criteria established to manage pollution and protect the environment, often set by government agencies.

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