In a perfectly competitive market, if P > MC, then
A) too little output is being produced.
B) too much output is being produced.
C) production is efficient, as the firm is earning profits.
D) the firm is paying a price for resources that is too high.
A
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Countries such as the United States that have large populations tend to have
A) higher trade-to-GDP ratios. B) lower trade-to-GDP ratios. C) relatively greater capital outflows. D) relatively smaller capital outflows. E) None of the above.
The way that people communicate with each other using their bodies
a. consideration b. body language c. communication d. charisma
A firm will begin to experience diminishing returns at the point where
A. marginal product increases. B. marginal cost decreases. C. marginal cost increases. D. Both B and C are correct.
Which of the following statements about a consumer's budget line is correct?I.The budget line shows all the combinations of two goods that exhaust the consumer's budget.II.The slope of the budget line shows the market tradeoff between two goods.III.The budget line represents the consumer's preferences or tastes.
A. I only B. I and II only C. I and III only D. II and III only