Perfectly competitive firms that earn an economic profit in the short run choose the output that
a. maximizes total revenue
b. minimizes total cost
c. maximizes the difference between total revenue and total cost
d. maximizes the difference between total revenue and explicit cost
e. maximizes the difference between total revenue and implicit cost
C
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Recall from your reading of the text: Which game or sport contains the same strategic elements as the management of a firm in oligopoly?
a. darts b. 50 meter hurdles c. chess d. speed skating e. solitaire
A company borrows money to supplement its current funds and uses it to buy more financial assets. This is what referred to as:
A. leverage. B. herding. C. diversification. D. quantitative easing.
Referring to Figure 8.6, how much economic profit does the monopolistically competitive firm earn in long-run equilibrium?
What will be an ideal response?
The poverty rate for African Americans is:
A. greater than for any other racial or ethnic group. B. below that for whites. C. considerably lower than that for Hispanics. D. below that for persons 65 years of age or older.