Question
In the short-run model of perfect competition, there is always a range of prices above the shutdown point where a firm is losing money, but
In the short-run model of perfect competition, there is always a range of prices above the shutdown point where a firm is losing money, but we assume they are not going to shut down?Explain why this is the case, and why firms in the short-run may continue to operate even when making negative economic profit.
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Advanced Placement Economics Microeconomics
Authors: Gary L. Stone
4th Edition
1561836699, 978-1561836697
