In the Long Run, a Perfectly Competitive Firm Will Exit

question 205

Multiple Choice

In the long run, a perfectly competitive firm will exit a market when

• A) its total revenue is less than its total cost.
• B) its marginal revenue curve is below the minimum of its average total cost curve.
• C) the price is greater than the minimum of its average total cost curve.
• D) Both answers A and B are correct.

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Definitions:

Racial/Ethnic Minority

Racial/Ethnic Minority denotes groups in a population that share common heritage, culture, or origin and are fewer in number compared to the majority group.

Competence To Stand Trial

A legal determination that a defendant has the mental capability to understand the charges against them and participate in their own defense.

Incompetent

Lacking the necessary skills, qualities, or abilities to perform a specified duty or task effectively.

Foucha V. Louisiana

A landmark U.S. Supreme Court case from 1992 involving the indefinite commitment of a mentally ill individual without the requirement of continuing evidence of mental illness.