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If a purely competitive firm is producing a level of output greater than its profit-maximizing output, then its profits must be negative.

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In the short run, a purely competitive firm that seeks to maximize profit will produce


A) where the demand and the ATC curves intersect.
B) where total revenue exceeds total cost by the maximum amount.
C) that output at which economic profits are zero.
D) at any point where the total revenue and total cost curves intersect.

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