The fact that a perfectly competitive firm has a perfectly elastic demand curve means
A) there is no limit to the firm's profits.
B) there is no limit to the firm's revenues.
C) that it can sell all it wants at any price.
D) None of the above
B
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Which of the following is a function of the U.S. federal government?
A) deciding for whom firms should produce goods and services B) distributing private goods and services C) providing the legal and social framework for economic activity D) determining what wages firms will pay their workers. E) deciding how much to produce of private goods and services
If ranchers in Texas fear a sharp drop in cattle prices next year, they will probably
A) bring less cattle to market this year. B) bring more cattle to market this year. C) keep supply unchanged now and bring more cattle to market next year. D) keep supply unchanged now and bring less cattle to market next year. E) do none of the above.
According to the "fair rules" view of fairness, are taxes fair? Explain
What will be an ideal response?
Government statisticians adjust GDP figures to include estimates of
A) the value of homemaking (work done within the home). B) the underground economy. C) child-rearing services provided by stay-at-home parents. D) the costs of pollution to society.