In the short run, a profit-maximizing firm will shut down if its total revenue is greater than its variable costs
Indicate whether the statement is true or false
FALSE
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Calculate the change in the price level for each of the following events, taken one at a time, with other variables unchanged.
(a) Money supply increases 10%. (b) Money demand increases 5% (c) Money supply decreases 5% while money demand increases 5%. (d) Money supply increases 15% while money demand increases 5%.
The M1 measure of money consists of the sum of:
A. currency, checking deposits, and savings deposits. B. checking deposits and travelers' checks. C. currency and travelers' checks. D. currency, checking deposits, and travelers' checks.
In 1995, the United States threatened to impose 100 percent tariffs on ________ from ________ if it didn't loosen its protectionist policies.
A. luxury cars; Japan B. auto parts; Japan C. brandies; France D. light trucks; Germany
If a monopolist produces to a point at which marginal revenue is greater than marginal cost then
A) profits are being maximized. B) profits will always be negative. C) the incremental cost of producing the last unit exceeds the incremental revenue. D) the incremental cost of producing the last unit is less than the incremental revenue.