Author Question: When the price faced by a competitive firm was 5, the firm produced nothing in the short run. ... (Read 89 times)

dbose · **on:** Jul 1, 2018

When the price faced by a competitive firm was 5, the firm produced nothing in the short run. However, when the price rose to 10, the firm produced 100 tons of output. From this we can infer that

A) the firm's marginal cost curve must be flat.
B) the firm's marginal costs of production never fall below 5.
C) the firm's average cost of production was less than 10.
D) the firm's total cost of producing 100 tons is less than 1000.
E) the minimum value of the firm's average variable cost lies between 5 and 10.

Question 2

There were more poor people in America in 2005 than there were in 1965.

Indicate whether the statement is true or false