A Firm Will Shut Down in the Short Run If

question 351

Multiple Choice

A firm will shut down in the short run if, for all positive levels of output,

• A)its losses exceed its fixed costs.
• B)its total revenue is less than its variable costs.
• C)the price of its product is less than its average variable cost.
• D)All of the above are correct.

---

Definitions:

Elisabeth Kübler-Ross

A psychiatrist known for her pioneering work on the five stages of grief, which she detailed in her book "On Death and Dying."

Fourth Step

A phase or stage in a process or sequence, commonly referring to specific steps in structured programs, like in recovery from addiction.

Depression

A mental health disorder characterized by persistently depressed mood or loss of interest in activities, causing significant impairment in daily life.

Thanatologists

People who study death and dying.