For a perfectly competitive firm, any price below its minimum AVC is a

A) market price.
B) shutdown price.
C) profit maximizing price.
D) negative price.


Answer: B

Economics

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If the government were to increase taxes, it would be enacting:

A. contractionary fiscal policy. B. expansionary fiscal policy. C. contractionary monetary policy D. expansionary budgetary policy.

Economics

The input that is generally hard to measure directly and consequently can be reasonably estimated with the growth accounting equation is:

A. land. B. labor. C. physical capital. D. technology.

Economics

Leaders that use group ideas to make decisions

a. autocratic b. laissez-faire c. democratic d. trait

Economics

Define the "consumption function."

What will be an ideal response?

Economics