-The firm shown in this figure:
A) is operating in the short run.
B) should expect its average total cost curve to rise over the long run until its minimum point just touches the demand curve.
C) should expect sellers to leave the market over the long run because price is less than average total cost at very low and very high levels of output.
D) all of the above.

Question

-The firm shown in this figure:
A) is operating in the short run. 
B) should expect its average total cost curve to rise over the long run until its minimum point just touches the demand curve. 
C) should expect sellers to leave the market over the long run because price is less than average total cost at very low and very high levels of output. 
D) all of the above.

Quizplus · Accepted Answer

The Answer of 
-The firm shown in this figure:
A) is operating in the short run. 
B) should expect its average total cost curve to rise over the long run until its minimum point just touches the demand curve. 
C) should expect sellers to leave the market over the long run because price is less than average total cost at very low and very high levels of output. 
D) all of the above.

-The Firm Shown in This Figure