Question: Explain why a perfectly competitive firm will shut down in the short run if price is lower than average variable cost but will continue to

Explain why a perfectly competitive firm will shut down in the short run if price is lower than average variable cost but will continue to produce if price is below average total cost but above average variable cost.

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Subjective norms, i.e. the norms of the target group

The temporal rule: The closer temporal proximity we have to an event or action, the more probable it is that the distortion of information is less than if the event or action happened longer ago.

The relevance of the information to the interpreter