Solved

If a Competitive Firm Cannot Earn Profit at Any Level

Question 38

Multiple Choice

If a competitive firm cannot earn profit at any level of output during a given short-run period,then which of the following FALSE?


A) It will shut down in the short run and wait until the price increases sufficiently.
B) It will exit the industry in the long run.
C) It will operate at a loss in the short run.
D) It will minimize its loss by decreasing output so that price exceeds marginal cost.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Q33: A firm bought a pizza over for

Q41: If a profit-maximizing firm finds that,at its

Q41: A conflict between an owner and a

Q47: If the present value of all future

Q49: If a firm doesn't make an economic

Q53: If a firm sets marginal revenue equal

Q59: -The above figure</p></div><svg width=

Q63: A firm's horizontal dimension refers to
A)its size

Q64: The agency problem can be avoided if
A)the

Q81: In deciding whether to operate in the

Unlock this Answer For Free Now!

View this answer and more for free by performing one of the following actions

qr-code

Scan the QR code to install the App and get 2 free unlocks

upload documents

Unlock quizzes for free by uploading documents