Supply curves applicable to shorter periods of time tend to:
a. be represented by horizontal lines parallel to the quantity axis.
b. be perfectly elastic.
c. be more inelastic than supply curves that apply to longer periods of time.
d. be more elastic than supply curves that apply to longer periods of time.
e. have a price elasticity of supply that is approximately equal to 1.
Question 2
If the marginal cost is less than average total cost, average total cost will decrease.
a. True
b. False
Indicate whether the statement is true or false
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