Refer to the Information Provided in Figure 9

Multiple Choice

Refer to the information provided in Figure 9.6 below to answer the question(s) that follow. Figure 9.6
-Refer to Figure 9.6. Assume this firm is in a constant-cost industry. For this firm to ________, the firm must be producing q₃ units of output.

A) be experiencing diseconomies of scale
B) need to shut down
C) be in long-run equilibrium
D) need to cut back on production to lower average costs