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Figure 13-2 Suppose a Firm Operating in a Competitive Market Has the Has

Question 225

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Figure 13-2
Suppose a firm operating in a competitive market has the following cost curves: Figure 13-2 Suppose a firm operating in a competitive market has the following cost curves:   -Refer to Figure 13-2.If the market price is P2,in the short run the firm will earn A)  positive economic profits. B)  negative economic profits but will try to remain open. C)  negative economic profits and will shut down. D)  zero economic profits.
-Refer to Figure 13-2.If the market price is P2,in the short run the firm will earn


A) positive economic profits.
B) negative economic profits but will try to remain open.
C) negative economic profits and will shut down.
D) zero economic profits.

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