If Profit Per Unit Equals (Price − Cost Per Unit)

question 85

Multiple Choice

If profit per unit equals (price − cost per unit) and costs are temporarily fixed, then the aggregate supply curve will have

• A)a basic "U" shape.
• B)a negative slope.
• C)a positive slope.
• D)All of these responses are correct.

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Definitions:

Employment

Employment refers to the condition of having paid work or the relationship between an employer and an employee who performs work or services for compensation.

Income Decrease

Income Decrease refers to a reduction in the amount of money received by an individual or entity, often affecting purchasing power and economic stability.

Average Price

The mean cost of a good or service, calculated by summing the prices of all the units sold and dividing by the quantity sold.

Trade Surpluses

A situation in which a country's exports exceed its imports, indicating a positive balance of trade.