For a monopolistically competitive firm in long-run equilibrium,
A. the demand curve must intersect the average total cost curve at the ATC curve minimum.
B. at the profit-maximizing quantity, the demand curve must be tangent to the average total cost curve.
C. the demand curve must be tangent to the average total cost curve at the ATC curve minimum.
D. at the profit-maximizing quantity, the demand curve must intersect the average total cost curve.
Answer: B
You might also like to view...
A commercial bank's last resort for borrowing reserves is from the:
A) discount window. B) central government. C) federal funds market. D) foreign banks.
If the nominal wage is $30 in 2011 and the CPI is 202 in 2011, then the real wage in 1982-1984 dollars
A) is $14.85. B) is $30. C) is $1.48. D) is $29.00. E) cannot be calculated without the past year wage rate.
If there is no single strategy that is best regardless of other players’ behavior:
A. there is no dominant strategy. B. the dominant strategy will be to defect. C. a noncooperative equilibrium is the only possible outcome. D. the game is called a Prisoners’ dilemma.
In order for a country to develop a high per capita GDP, it must have a rich endowment of natural resources, particularly energy and mineral resources
a. True b. False Indicate whether the statement is true or false