Figure 14-1 Suppose That a Firm in a Competitive Market Has the Has

question 457

Multiple Choice

Figure 14-1
Suppose that a firm in a competitive market has the following cost curves:
-Refer to Figure 14-1. If the market price is $6.30, the firm will earn

• A)positive economic profits in the short run.
• B)negative economic profits in the short run but remain in business.
• C)negative economic profits and shut down.
• D)zero economic profits in the short run.

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Definitions:

Cleavage

In geology, the tendency of crystalline materials to split along definite crystallographic structural planes, creating flat, shiny surfaces.

Monocline

A geological feature where sedimentary layers are tilted or bent along a single axis.

Strike-Slip Fault

A type of fault where the movement is predominantly horizontal, caused by shear stress, often resulting in earthquakes.

Asymmetric Fold

A geological fold where the two sides are uneven or asymmetrical, typical in areas of complex tectonics.