Intermediate Microeconomics and Its Application 12th Edition by Walter Nicholson,Christopher Snyder

تمرين 1

In long-run equilibrium in a perfectly competitive market, each firm operates at minimum average cost. Do firms also operate at minimum long-run average cost when such markets are out of equilibrium in the short run? Wouldn't firms make more in short-run profits if they opted always to produce that output level for which average costs were as small as possible?