If price is greater than the average variable cost and less than the average total cost at the profit-maximizing quantity of output in the short run, a perfectly competitive firm will: produce more than the profit-maximizing quantity. produce at an economic loss. shut down production. produce at an economic profit.

Micro Economics For Today
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ISBN:9781337613064
Author:Tucker, Irvin B.
Publisher:Tucker, Irvin B.
Chapter8: Perefect Competition
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If price is greater than the average variable cost and less than the average total cost at the profit-maximizing quantity of
output in the short run, a perfectly competitive firm will:
produce more than the profit-maximizing quantity.
produce at an economic loss.
shut down production.
produce at an economic profit.
Transcribed Image Text:If price is greater than the average variable cost and less than the average total cost at the profit-maximizing quantity of output in the short run, a perfectly competitive firm will: produce more than the profit-maximizing quantity. produce at an economic loss. shut down production. produce at an economic profit.
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