In this graph, which of the following accurately describes the point where the ATC curves touches the demand curve?
a. The long-term price equals the average total cost at the equilibrium quantity.
b. The short-term price equals the average total cost at the profit quantity.
c. The long-term price equals the marginal cost at the equilibrium quantity.
d. The short-term price equals the marginal total cost at the profit quantity.
a. The long-term price equals the average total cost at the equilibrium quantity.
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People would not choose to specialize because:
A. it can lead to more consumption than being self-sufficient. B. it can lead to consumption beyond the production possibilities frontier. C. it allows people to acquire goods at a lower opportunity cost. D. production standards are harder to control if goods are imported from other countries.
The use of money as a medium of exchange requires a double coincidence of want
a. True b. False Indicate whether the statement is true or false
Once a firm's marginal revenue curve is known, the output level can be determined
a. True b. False Indicate whether the statement is true or false
The economy experiences an increase in the price level and a decrease in real domestic output. Which of the following is a likely explanation?
A. Productivity has increased B. Input prices have increased C. There has been an increase in government spending D. Government regulations have been reduced