When economic profit is zero, then the firm is failing to cover atc?
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When economic profit is zero, then the firm is failing to cover ATC ✓ the firm achieves normal profit. This is an incorrect answer. Have a nice day! the firm should shut down
Should a firm shut down immediately if it is making losses? ... If the entire average variable costs curve is higher than the price, then there is no output capable of producing profits or resulting in a loss less than the fixed costs and the firm should shut down.
Should a firm shut down immediately if it is making losses? ... If the entire average variable costs curve is higher than the price, then there is no output capable of producing profits or resulting in a loss less than the fixed costs and the firm should shut down.
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