Author Question: _____ is the locus of the minimum points of various short-run average cost curves depicting ... (Read 14 times)

tuffie · **on:** Jun 30, 2018

_____ is the locus of the minimum points of various short-run average cost curves depicting different plant sizes.
a. Long-run marginal cost
b. Expansion path
c. Long-run average cost
d. Isocost

Question 2

Quickie Inc, a perfectly competitive firm, currently maximizes profit by producing 400 units of output. If its marginal cost is equal to 25 and its average total cost is 20, then how much is it earning in economic profit?
a. Economic profit is always equal to zero in perfect competition.
b. 10,000
c. 8,000
d. 2,000
e. 4,000