In the short run, profits when a competitive firm shuts down are -$7600, and they are -$550 when the firm continues to produce. This firm will minimize losses in the short run by Choose one: ⒸA. either shutting down or continuing to produce. B. shutting down. C. continuing to produce.

In the short run, profits when a competitive firm shuts down are -$7600, and they are -$550 when the firm continues to produce. This firm will minimize losses in the short run by Choose one: ⒸA. either shutting down or continuing to produce. B. shutting down. C. continuing to produce.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Concept explainers

Imperfect Competition

Imperfect competition is relatively easier to understand once people have the knowledge of perfect competition. When the five conditions of perfect competition are not made, that market structure is said to be imperfect competition.

Question

Part 1
In the short run, profits when a competitive firm shuts down are -$7600, and they are-$550 when the firm continues to produce. This
firm will minimize losses in the short run by
Choose one:
ⒸA. either shutting down or continuing to produce.
OB. shutting down.
OC. continuing to produce.
Show Transcribed Text
Part 2
What are the firm's fixed costs?
Show Transcribed Text
Explain please
550
7600
7050
8150
See Hint
C
See Hint

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