For a monopolistically competitive firm,
a. marginal revenue and price are the same.
b. average revenue and price are the same.
c. at the profit-maximizing quantity of output, price equals marginal cost.
d. at the profit-maximizing quantity of output, price equals the minimum of average total cost.
b
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Besides the fact that the elderly are often on fixed incomes can you think of another reason why most local taxing authorities grant homeowners aged 65 and older school tax exemptions?
What will be an ideal response?
When a firm's long-run average cost curve is horizontal for a range of output, then that range of production displays
A) constant average fixed costs. B) decreasing returns to scale. C) increasing returns to scale. D) constant returns to scale.
The above figure shows the cost curves for a competitive firm. If the firm is to operate in the short run, price must exceed
A) $0. B) $5. C) $10. D) $11.
Economies of scale is another term for
a. increasing returns to scale. b. constant returns to scale. c. increasing marginal physical productivity. d. decreasing returns to scale.