If in the Short Run the Firm Incurs Zero Marginal

question 74

Multiple Choice

If in the short run the firm incurs zero marginal cost, then the firm will

• A) never shut down.
• B) shut down if the price is greater than the average variable cost.
• C) shut down if the price is less than the average total cost.
• D) shut down if the marginal cost equals the marginal revenue.

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Definitions:

Subjective Discomfort

A personal feeling of pain, distress, or discomfort that may not be immediately apparent to others.

Borderline

Refers to the edge or boundary of something, or in medical terms, often associated with borderline personality disorder, indicating a personality disorder characterized by unstable moods, behaviors, and relationships.

Personality Disorder

A type of mental disorder characterized by enduring maladaptive patterns of behavior, cognition, and inner experience, deviating from cultural expectations.

Identity

A person's understanding or concept of themselves, including their characteristics, beliefs, and values.