Multiple Choice
Which of the following is true about perfect competition?
A) Each firm faces a downward-sloping demand curve.
B) Each firm must face a horizontal demand curve.
C) Firms are price-makers.
D) Marginal cost equals average cost.
E) Firms can increase sales by lowering their price.
Correct Answer:

Verified
Correct Answer:
Verified
Q48: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB3973/.jpg" alt=" -Figure 9-5 shows
Q49: The demand curve facing a typical firm
Q50: If an industry's long-run supply curve is
Q51: The perfectly competitive firm's supply curve includes<br>A)that
Q52: If price equals average total cost at
Q54: In a perfectly competitive market,the market demand
Q55: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB3973/.jpg" alt=" -In short-run equilibrium,the
Q56: Figure 9-23<br> <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB3973/.jpg" alt="Figure 9-23
Q57: The key assumption that distinguishes a constant
Q58: Figure 9-15<br> <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB3973/.jpg" alt="Figure 9-15