In the short run, if P

Question

In the short run, if P < AVC, a perfectly competitive firm:
A.produces output and earns an economic profit.
B.produces output and incurs an economic loss.
C.does not produce output and earns an economic profit.
D.does not produce output and incurs an economic loss.

Quizplus · Accepted Answer

The Answer of In the short run, if P < AVC, a perfectly competitive firm:
A.produces output and earns an economic profit.
B.produces output and incurs an economic loss.
C.does not produce output and earns an economic profit.
D.does not produce output and incurs an economic loss.

In the Short Run, If P < AVC, a Perfectly