Author Question: In the short run, a perfectly competitive firm will always shut down if, at all output levels above ... (Read 62 times)

tsand2 · **on:** Jun 30, 2018

In the short run, a perfectly competitive firm will always shut down if, at all output levels above zero,
a. price is less than average total cost
b. total revenue is less than total cost
c. they cannot pay variable costs with total revenue
d. variable cost is greater than fixed cost
e. price is less than fixed cost

Question 2

A monopolist's short-run supply curve is
a. its average fixed cost curve
b. the part of the marginal cost curve above the average variable cost curve
c. the part of the marginal cost curve below the average variable cost curve
d. nonexistent
e. its demand curve