Statement 1: The firms short-run supply curve runs up the marginal cost curve from the shut-down point

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Statement 1: The firm’s short-run supply curve runs up the marginal cost curve from the shut-down point to the break-even point. Statement 2: The firm will not accept a price below the break-even point in the short run.

a) Statement 1 is true, and statement 2 is false.

b) Statement 2 is true, and statement 1 is false.

c) Both statements are true.

d) Both statements are false.

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Microeconomics

ISBN: 9780077641542

11th Edition

Authors: Stephen Slavin

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Question Posted: Feb 29, 2024 07:00 AM

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Statement 1: The firms short-run supply curve runs up the marginal cost curve from the shut-down point

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Step by Step Answer:

The correct answer is c Both statements are true Heres an explanation Statement 1 Shortrun supply curve This curve shows the relationship between the ...View the full answer

Microeconomics

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