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Given the graph below for a firm in a perfectly competitive market: a. (1 pt) Match the number with the correct curve or point: AVC

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Given the graph below for a firm in a perfectly competitive market: a. (1 pt) Match the number with the correct curve or point: AVC __, ATC__, MC__, MR. Breakeven point _, Short-run shutdown point b. (1 pts) Is this firm making an economic profit, breaking even, or taking an economic loss? c. (1 pt) With long-run equilibrium in mind, would you expect MR to increase, decrease or stay the same in the future. 6

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