In the Short Run, the Firm Should Shut Down When

question 28

Multiple Choice

In the short run, the firm should shut down when

• A) price is equal to the average total cost of production.
• B) price is less than the minimum of the average variable cost of production.
• C) price is equal to the minimum of the marginal cost of production.
• D) price is equal to the minimum of the average total cost of production.

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Definitions:

Connective

A word or phrase that connects clauses or sentences, such as 'and', 'but', or 'because'.

Symbolic Form

An expression or representation that uses symbols to convey ideas or concepts.

Components

The individual parts or elements that make up a whole system or compound.

Connective

A word or phrase in language that connects clauses or sentences, or a logical operator that joins propositions.