Multiple Choice
Consider a perfectly competitive firm in the short run. Assume the firm produces the profit-maximizing output and earns economic profits. Which statement is FALSE?
A) Price is equal to marginal cost.
B) Price is equal to marginal revenue.
C) Price is equal to average total cost.
D) Marginal cost is greater than average total cost.
Correct Answer:
Verified
Correct Answer:
Verified
Q49: Suppose that the market for candy canes
Q164: In perfectly competitive long-run equilibrium:<br>A)all firms make
Q282: If the price is less than the
Q317: Use the following to answer questions:<br>Figure: Revenues,
Q319: Many furniture stores run "going out of
Q321: In the long run, when economic profit
Q322: The short-run shut-down price is:<br>A) the price
Q323: Use the following to answer questions:<br>Figure: Costs
Q324: Economic profits in a perfectly competitive industry
Q325: Hank operates a perfectly competitive firm in