A Perfectly Competitive Firm Will Not Produce Any Output in the Short

question 262

Multiple Choice

A perfectly competitive firm will not produce any output in the short run and will shut down if price is:

• A) greater than marginal cost.
• B) less than marginal cost.
• C) less than average variable cost.
• D) greater than average variable cost and less than average total cost.

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Definitions:

Wavelength

Wavelength is the distance between successive crests of a wave, typically used in the context of electromagnetic waves, sound waves, or other waves.

Nanometers

Nanometers, denoted as nm, are a unit of measurement equal to one billionth of a meter, often used to measure wavelengths of light or the scale of atoms and molecules.

Photoreceptors

Photoreceptors are specialized cells in the retina that convert light into electrical signals, enabling the process of vision.

Cones

Photoreceptor cells in the retina of the eye that function best in bright light and enable color vision.