Multiple Choice
A firm is currently producing at an output level at which marginal revenue is $5 and marginal cost is $4, the firm should:
A) increase its production until marginal cost is $5
B) increase its price to $5
C) decrease its price to $4
D) decrease its production until marginal revenue is $4
Correct Answer:
Verified
Correct Answer:
Verified
Q10: The cobweb theorem:<br>A) tells farmers how much
Q11: The supply curve for a firm in
Q12: A perfectly competitive firm finds itself in
Q13: A system of quotas will result in
Q14: A perfectly competitive firm finds itself in
Q16: Between 1951 and 2001 the number of
Q17: The demand curve for a firm in
Q18: Firms in perfect competition are unlikely to
Q19: A firm in perfect competition faces a
Q20: The demand for most agricultural products is:<br>A)