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wariber [46]
2 years ago
12

The profit-maximizing rule leaves room for cases where it is both possible and reasonable for a firm to operate at a loss over t

he long run.
Business
1 answer:
Vinil7 [7]2 years ago
6 0

It is a false statement that profit-maximizing rule leaves room for cases where it is both possible and reasonable for a firm to operate at a loss over the long run.

<h3>What is a profit-maximizing rule?</h3>

The rule of profit maximization says that MC = MR where the MC means marginal costs and MR means marginal revenue.

As all costs are variable in the long run, then, a firm must always set its profit to zero by ceasing operation.

Therefore, It is false that profit-maximizing rule leaves room for those cases.

Read more about profit-maximizing rule

<em>brainly.com/question/16737525</em>

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