Below, the graph on the left shows the short-run marginal cost curve for a typical firm selling in a perfectly competitive industry. The graph on the right shows current industry demand and supply.
If the firm's demand and marginal revenue curves were drawn in the left-hand graph, what would be the elasticity of demand?
A. -0.6
B. zero
C. infinitely elastic
D. -6
E. unitary
Answer: C
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As Sean's consumption of rice goes up, his
A) average utility from consuming rice increases. B) total utility from consuming rice increases. C) marginal utility from consuming rice increases. D) elasticity of utility from consuming rice increases.
Price elasticity is a measure of how
A. much a market responds to a change in market conditions. B. much consumers or producers respond to a change in market price. C. quickly consumers or producers respond to a change in market price. D. quickly a market will respond to a change in market conditions.
Which nation listed below is successfully transitioning from a planned economy to a hybrid market economy?
a. People's Republic of China. b. Japan. c. United Kingdom. d. United States.
A popular resort restaurant will maximize profits if it chooses to stay open during the less-crowded "off season" when its total revenues exceed its fixed costs
a. True b. False Indicate whether the statement is true or false