A perfectly competitive firm will shut down production in the short run if the price is below average total cost.
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Q223: The firm will continue to produce in
Q224: A perfectly competitive industry characterized by increasing
Q225: Total economic profit is (price minus average
Q226: The profit-maximizing level of output for a
Q227: Economic profit cannot exist under perfect competition.
Q229: If some firms in a perfectly competitive
Q230: A perfectly competitive firm will stay in
Q231: Profit for the firm is maximized when
Q232: An increase in demand in a perfectly
Q233: Economic profit in the long run in
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