If a competitive firm is operating in short run equilibrium and ...

[kfurse]

If a competitive firm is operating in short run equilibrium and then its fixed costs fall by 40 percent, it should:
 a. use more labor and less capital in current production.
  b. not change its output.
 c. increase its output.
 d. decrease its output.

Question 2

The poverty threshold is often determined in terms of the expenditure on meals that meet a predetermined nutritional standard.
 a. True
  b. False
  Indicate whether the statement is true or false

[olderstudent]

Answer to Question 1

b

Answer to Question 2

True