The marginal revenue curve of a monopolistically competitive firm is
A) downward sloping and above the demand curve.
B) downward sloping and below the demand curve.
C) identical to the demand curve as there are many small firms in the market.
D) perfectly elastic.
B
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According to the traditional Keynesian analysis, if the government increases spending and pays for all of it by raising current taxes, then
A) a budget surplus will occur. B) aggregate demand will increase. C) a budget deficit will occur. D) aggregate demand will decrease.
The demand curve for labor slopes down because
A) firms value less efficient workers less than they value more efficient workers. B) firms must lower prices to sell the additional units of its product that the extra workers produce. C) of the law of diminishing marginal product. D) of profit maximizing behavior.
In "closing the gold window" in 1971, President Nixon
a. did both d and e b. did all of the following c. refused to exchange gold for dollars d. forced the dollar to appreciate e. called in all gold circulating domestically
High Tech, Inc. produces plastic chairs that sell for $10 each. The following table provides information about how many plastic chairs can be produced per hour. Number of WorkersChairs Produced Per Hour00110218324428530For simplicity, assume that labor is the only input. How many workers will be hired if the hourly wage for workers is $120?
A. 5 B. More than 5 C. 0 D. 3