A Firm Will Shut Down in the Short Run If

question 424

Multiple Choice

A firm will shut down in the short run if the total revenue that it would get from producing and selling its output is less than its

• A)opportunity costs.
• B)fixed costs.
• C)variable costs.
• D)total costs.

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Definitions:

Frederick Douglass

An African American social reformer, abolitionist, orator, writer, and statesman who escaped from slavery and became a leader of the abolitionist movement, advocating for the rights of African Americans.

Plantation Field Work

Labor performed on plantations, typically involving the cultivation and harvesting of crops like cotton, tobacco, and sugar by enslaved Africans and African Americans in the pre-Civil War United States.

Peculiar Institution

A euphemism once used to refer to the American system of slavery, especially in the antebellum South, highlighting its distinctive and controversial nature.

Economic Drain

A situation where wealth or resources are transferred out of an economy, often due to unfavorable trade balances, colonial exploitation, or remittances.