The amount of output that a firm decides to sell has no effect on the market price in a competitive industry because
A) the market price is determined (through regulation) by the government
B) the firm supplies a different good than its rivals
C) the firm's output is a small fraction of the entire industry's output
D) the short run market price is determined solely by the firm's technology
E) the demand curve for the industry's output is downward sloping
C
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During 1970-1997, the U.S. federal government was
A) in deficit every year. B) in surplus every year. C) in deficit most of those years. D) balanced every year.
Refer to Table 11.1. What is the value of GDP?
A) $7,450. B) $7,250. C) $7,150. D) $7,350.
At Rick’s Trailer Trove, Rick’s buddy Theodore convinces him to extend production of trailers beyond the current production level in order to gain more producer surplus. This strategy will work if ______.
a. current production exceeds the equilibrium point b. current production is at the equilibrium point c. the cost of the additional output exceeds what the buyers will pay for it d. the cost of the additional output is less than what the buyers will pay for it
Refer to the above graph of the representative firm in monopolistic competition. The intersection of marginal cost and average total cost is represented by point:
A. a. B. b. C. c. D. d.