The donut market is perfectly competitive. The figure shows the costs of a typical donut producer. In the short run, the donut producer's supply curve is the curve running from point ________ to point E.
A) A
B) B
C) C
D) D
Question 2
Using the data in the above table
A) the variables quantity and price are positively related.
B) the variables quantity and price are negatively related.
C) the variables quantity and price are neither positively nor negatively related.
D) an increase in price is likely to cause an increase in quantity.
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