Expected economic profit per unit is equal to:
A. expected price.
B. expected average total cost.
C. the difference between expected total revenue and expected total cost.
D. the difference between expected price and expected average total cost.
Answer: D
You might also like to view...
When an import quota is imposed on tomatoes, the price of tomatoes ________ and the quantity bought ________, so domestic consumers ________
A) rises; increases; lose B) rises; decreases; lose C) falls; decreases; lose D) falls; increases; lose E) rises; decreases; gain
When laws and regulations prohibit firms from selling at "prices less than cost,"
A) consumers benefit. B) they are rarely enforced; therefore, competition is allowed to decline in the retailing industry. C) they help maintain competition by eliminating one important advantage of large firms. D) they must define "cost" arbitrarily since no firm has an incentive to sell below cost. E) they serve as our most effective defense against predatory pricing.
In the model of an oligopoly with identical (homogeneous) products, what is the price likely to be?
What will be an ideal response?
If Q = K1/2L1/2 the MPK is
a. constant b. diminishing c. increasing