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Given That Frozen Yogurt and Ice Cream Are Substitutes,a Shift

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Multiple Choice

Given that frozen yogurt and ice cream are substitutes,a shift in preferences in favor of yogurt would be predicted to do all of the following EXCEPT


Definitions:

Downsloping

A characteristic of certain economic graphs, such as the demand curve, indicating that as price decreases, quantity demanded increases.

Purely Competitive Firm

A business that operates in a market where there are many buyers and sellers, and it has no control over the market price of its product.

Economic Profit

The difference between a firm’s total revenue and its opportunity costs (including both explicit and implicit).

Long-run Average Total Cost

The total cost per unit of output when all factors of production are variable, and economies of scale have been achieved.

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