Answer to Question #33753 in Microeconomics for John

Question #33753
Might a firm produce a positive output if the price exactly equals the minimum average variable cost? Explain.
1
Expert's answer
2013-08-08T09:51:08-0400
If the price exactly equals the minimum average variable cost, it is the minimal possible point for firm to produse its output to bear losses in the short run. But in the long run it will have to shout down.&

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