## Question

###### Given the following curves, explain why a firm would remain in operation in the short run if price was at $mathrm{MR}_{1}$, but would shut down if price was at $mathrm{MR}_{2}$.

Given the following curves, explain why a firm would remain in operation in the short run if price was at $mathrm{MR}_{1}$, but would shut down if price was at $mathrm{MR}_{2}$.

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