In long-run equilibrium in perfect competition, every firm is producing at minimum average cost
a. True
b. False
Indicate whether the statement is true or false
True
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The above table gives the demand and supply schedules for cat food. If the price is $3.00 per pound of cat food, will there be a shortage, a surplus, or is this price the equilibrium price?
If there is a shortage, how much is the shortage? If there is a surplus, how much is the surplus? If $3.00 is the equilibrium price, what is the equilibrium quantity?
The technology boom that began in the 1990s has helped increase the average real incomes of households in all five U.S. quintiles
Indicate whether the statement is true or false
If Quick Auto Service increases the size of its shop, enabling it to purchase cost-saving capital equipment so that the cost of servicing a car falls, this would be an example of
A) economies of scope. B) economies of scale. C) monitoring. D) increasing transactions costs.
“As long as total revenue slopes up, marginal revenue must slope up also.” Explain whether this statement is true or false.
What will be an ideal response?