ECN 112 Chapter 13 Lecture Notes - Mesa Community College

The firm produces output as long as price is above minimum average variable cost (P > minimum AVC). 2. The firm shuts down if price is less than minimum average variable cost (P < minimum AVC). a. The . shutdown point. is the output and price at which the firm just covers its total variable costs. 3. The firm’s supply curve is divided into ... ................
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