In the short run, if a firm's price is greater than its AVC but less than its ATC, the firm should:
A) shut down immediately because it is generating an economic loss.
B) shut down temporarily because it is generating an economic loss.
C) continue operating at the same level of output because it is generating an economic profit.
D) continue operating even though it is generating an economic loss.
E) increase its output in order to earn more profits.
Correct Answer:
Verified
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