Multiple Choice
If a profit-maximizing firm is currently producing where MR = MC, it should
A) increase output so that marginal revenue is less than marginal cost.
B) decrease output so that marginal revenue will be greater than marginal cost and the firm's profit will increase.
C) not change because it is already maximizing profit.
D) exit the industry.
Correct Answer:
Verified
Correct Answer:
Verified
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