Refer to the accompanying graph. If this firm is a price taker, then when the price of each unit of output is $30, this firm's profit-maximizing level of output is ________.
A. 60
B. 30
C. 80
D. 100
Answer: C
You might also like to view...
A second-price auction
a. is also called an English auction b. is where the highest bidder wins and pays the amount of the next highest bid c. is where the sole remaining bidder wins and pays his winning bid d. all of the above
Suppose, at its present rate of output, a perfectly competitive firm's marginal revenue exceeds both its marginal cost and its average variable cost. To maximize profit, the firm should
a. lower the price b. raise the price c. increase output d. reduce output e. maintain its current rate of output
Figure 17-9
Refer to . The imposition of a tariff on carnations
a.
increases the number of carnations imported by 100.
b.
increases the number of carnations imported by 200.
c.
decreases the number of carnations imported by 200.
d.
decreases the number of carnations imported by 400.
Answer the following statement(s) true (T) or false (F)
1. Microeconomics is the study of the behavior of the overall economies of small countries. 2. Macroeconomics is the study of how certain occurrences affect the economy as a whole. 3. The supply of services is not part of the study of economies because it does not involve the exchange of goods. 4. Economics is the study of how goods and services are exchanged between individuals, businesses, and governments. 5. Traditional economies are the most common economies found in the world today.