Ask Question
11 October, 22:25

In which market structure will a firm choose not to shut down when price is less than average variable cost?

+4
Answers (1)
  1. 11 October, 22:39
    0
    The market structure in which a firm will choose not to shut down when price is less than average variable cost is:

    None of the above. All firms will shut down when Price < AVC.

    To add, in economics, average variable cost (AVC) is a firm's variable costs (labor, electricity, etc.) divided by the quantity of output produced.
Know the Answer?
Not Sure About the Answer?
Find an answer to your question 👍 “In which market structure will a firm choose not to shut down when price is less than average variable cost? ...” in 📗 Business if the answers seem to be not correct or there’s no answer. Try a smart search to find answers to similar questions.
Search for Other Answers