Question 14
MediumOriginal questionThe short-run supply curve of a firm under perfect competition is
Show the answer and explanation
CorrectNot quiteAnswer B
Correct answer: B
Explanation
At each price the firm supplies where P = MC, so MC traces out the quantities supplied.
Below minimum AVC it supplies nothing, so the curve starts at that point.
- Concept
- Short-run supply curve of a firm
- Typical timeTypical
- 70 s
- Your timeYours
- —
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