Author Question: According to the shutdown rule, a firm should produce no output in the short run if A) price is ... (Read 84 times)

wrbasek0 · **on:** Jul 1, 2018

According to the shutdown rule, a firm should produce no output in the short run if

A) price is below minimum average total cost.
B) price is above minimum average total cost.
C) total revenues are lower than total fixed costs.
D) price is below minimum average variable costs.

Question 2

The nominal interest rate is 7 and the real interest rate is 2.75. What is the inflation rate?

A) 3.75
B) 4.55
C) 4.25
D) 9.75