Multiple Choice
If the price is consistently below the average variable cost,then in the short run a perfectly competitive firm should:
A) raise the price.
B) sell more output.
C) shut down.
D) lower the price to sell more.
Correct Answer:

Verified
Correct Answer:
Verified
Related Questions
Q228: The competitive model of markets does NOT
Q229: In the short run,if AVC < P
Q230: Use the following to answer question: <img
Q231: Use the following to answer question: <img
Q232: Use the following to answer question: <img
Q234: A curve that shows the quantity of
Q235: In the model of perfect competition:<br>A)the consumer
Q236: The demand curve faced by a single
Q237: Use the following to answer question: <img
Q238: Price in a perfectly competitive industry:<br>A)is determined