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Use the Figure Below to Answer the Following Questions

Question 132

Multiple Choice

Use the figure below to answer the following questions. Use the figure below to answer the following questions. Figure 13.2.3 -Refer to Figure 13.2.3.Assume this firm faces demand curve D<sub>2</sub>.At the profit-maximizing output level,the firm A) incurs an economic loss. B) makes zero economic profit. C) makes an economic profit. D) is not in a long-run equilibrium. E) is producing at its efficient scale. Figure 13.2.3
-Refer to Figure 13.2.3.Assume this firm faces demand curve D2.At the profit-maximizing output level,the firm


A) incurs an economic loss.
B) makes zero economic profit.
C) makes an economic profit.
D) is not in a long-run equilibrium.
E) is producing at its efficient scale.

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