APMic Unit 3 Lesson 6 Firms' Short-Run Decision to Produce and Long-Run Decisions to Enter or Exit a Market (No Reading) by jclerch https://padlet.com/jclerch/kf9p5ookar42 Production, Cost and the Perfect Competition Model en-us 2019-07-21 14:32:01 UTC 2026-01-21 00:31:26 UTC hello@padlet.com https://padlet-uploads.storage.googleapis.com/135439946/875b11f08d08df27985e886f93f0d7c3/IMG_12291.png Essential Knowledge jclerch https://padlet.com/jclerch/kf9p5ookar42/wish/372206266 In the short run, firms decide to operate (i.e., produce positive output) or shut down (i.e., produce zero output) by comparing total revenue to total variable cost or price to average variable cost (AVC).

In the absence of barriers to entry or exit, in the long run (i.e., once factors that are fixed in the short run become variable), firms enter a market in which there are profit-making opportunities and exit a market when they anticipate economic losses.
]]> 2019-07-24 23:25:59 UTC https://padlet.com/jclerch/kf9p5ookar42/wish/372206266 Enduring Understanding jclerch https://padlet.com/jclerch/kf9p5ookar42/wish/372206283 Firms’ short-run decisions to produce output, and long-run decisions to enter or exit a market, are based on profitability.]]> 2019-07-24 23:26:24 UTC https://padlet.com/jclerch/kf9p5ookar42/wish/372206283 Learning Objectives jclerch https://padlet.com/jclerch/kf9p5ookar42/wish/372206302 Explain (using graphs or data where appropriate) firms’ short-run decisions to produce positive output levels, or long-run decisions to enter or exit a market in response to profit-making opportunities.]]> 2019-07-24 23:26:36 UTC https://padlet.com/jclerch/kf9p5ookar42/wish/372206302 Questions jclerch https://padlet.com/jclerch/kf9p5ookar42/wish/372206323
  • Should firms ever continue to produce even though they are earning a loss? 
  • Are firms ever indifferent to staying in a market or exiting the market? 

    • ]]>     2019-07-24 23:26:51 UTC https://padlet.com/jclerch/kf9p5ookar42/wish/372206323     jclerch https://padlet.com/jclerch/kf9p5ookar42/wish/391039528 2019-09-29 16:54:39 UTC https://padlet.com/jclerch/kf9p5ookar42/wish/391039528 jclerch https://padlet.com/jclerch/kf9p5ookar42/wish/391045715 2019-09-29 17:29:57 UTC https://padlet.com/jclerch/kf9p5ookar42/wish/391045715 jclerch https://padlet.com/jclerch/kf9p5ookar42/wish/693508982 2020-08-23 19:30:49 UTC https://padlet.com/jclerch/kf9p5ookar42/wish/693508982 None jclerch https://padlet.com/jclerch/kf9p5ookar42/wish/693545029 2020-08-23 20:38:50 UTC https://padlet.com/jclerch/kf9p5ookar42/wish/693545029