Figure 6.3 shows the cost structure of a firm in a perfectly competitive market. The firm will stay in the market in the long run only if the market price is greater than or equal to:
A. $4.50.
B. $6.
C. $10.
D. $15.
Answer: C
You might also like to view...
Refer to Table 19-7. Suppose that a simple economy produces only four goods and services: iPods, t-shirts, bottled water, and oranges. Calculate nominal GDP for this simple economy
What will be an ideal response?
Under Roosevelt's definition, poverty has remained about the same since 1936
Indicate whether the statement is true or false
An expected appreciation of the dollar, everything else held constant, should cause:
A. the dollar to depreciate now relative to other currencies. B. the demand for dollars to decrease. C. the demand for dollars to increase. D. the supply of dollars to increase.
An increasing-cost industry is the result of:
A. higher resource prices that occur as the industry expands. B. a change in the industry's minimum efficient scale. C. X-inefficiency. D. the law of diminishing returns.