In the long run, if a firm's total cost exceeds its total revenue at all output levels, it should
a. always exit the industry
b. always continue operating
c. increase the amount of its fixed inputs
d. increase the proportion of its total cost that is fixed
e. maximize the difference between its marginal revenue and its marginal cost
A
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An advantage to American banks from operating foreign branches is that Eurodollar deposits in offshore branches are
A) not subject to reserve requirements. B) insured by the FDIC. C) subject to extensive regulatory supervision. D) all demand deposits that pay no interest.
If = 4%, = 3%, and = 2%, then must equal:
What will be an ideal response?
A profit-maximizing monopolist will produce at the point where:
a. total revenue = total costs. b. marginal revenue = marginal cost. c. average revenue = average cost. d. the difference between average revenue and average cost is maximized.
The ________ capital in developing nations causes labor productivity to remain low.
A. subsidized B. increase in privately controlled C. reassignment of D. lack of