Answer to Question 1
In the short run, if price falls to a point on the marginal cost curve that lies below average variable cost curve, then the firm should shut down. The firm's short-run supply curve is therefore the portion of its marginal cost curve that lies above average variable cost curve. In the long run, however, the supply curve is the portion of its marginal cost curve that lies above average total cost. This is because all costs are variable in the long run. Hence, when price falls below the minimum average cost, it becomes unprofitable for the firm to continue operations and the firm exits the industry.
Answer to Question 2
Rawlsian justice is a theory of distributional justice that concludes that the social contract emerging from the original position would call for an income distribution that would maximize the well-being of the worst-off member of society.
Coronary circulation. (A) Coronary vessels portraying the complexity and extent of the coronary circ
In 2013, Americans learned that the federal government massively surveys their phone calls and e-mai
Hormones acting through the brain help regulate metabolism and short- and long-term appetite.
Linear dose-response curve
If you are able to earn 6.2% compounded semi-annually in an account, how long will it take for ...
Construct a Lorenz curve that shows income distribution in this society.