For a perfectly competitive firm, price always equals marginal cost.
Answer the following statement true (T) or false (F)
False
You might also like to view...
Assuming all else equal, if a household is optimistic about future income, it is likely to cause:
A) the current credit supply curve of the household to shift to the left. B) an upward movement along the current credit supply curve of the household. C) the current credit supply curve of the household to shift to the right. D) a downward movement along the current credit supply curve of the household.
Suppose an entrepreneur commits to a production schedule but overestimates the market price for her products. Which situation is not possible?
a. Price equals average total cost. b. Losses are greater than if she shut down. c. Total profit is positive. d. Average variable cost is greater than marginal cost. e. Total profit is zero.
If workers expect inflation, and negotiate wage increases that exactly match price increases, the result is a
a. horizontal aggregate supply curve at the level of potential GDP. b. vertical aggregate supply curve at the level of potential GDP. c. horizontal aggregate demand curve at the level of potential GDP. d. vertical aggregate demand curve at the level of potential GDP.
Money market mutual funds are accounts that are
a. usually offered by banks. b. do not pay interest income. c. insured by the federal government. d. usually offered by brokerage and insurance firms.