In the short run, a firm should continue operating if its economic loss from operating exceeds its total fixed cost.

Name: In the short run, a firm should continue operating if its economic loss from operating exceeds its total fixed cost.
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In the short run, a firm should continue operating if its revenue covers its variable costs, even if it incurs an economic loss, as long as the loss is less than its total fixed costs. Operating at a loss that exceeds total fixed costs would not be rational.

In the Short Run, a Firm Should Continue Operating If