The marginal revenue curve for a perfectly competitive firm
A) is downward-sloping.
B) is the same as its demand curve.
C) is perfectly inelastic.
D) is the same as its marginal cost curve.
Answer: B
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Suppose a firm uses workers and office space to produce output. The firm is locked into a year-long lease on its office space, but it can easily vary the number of employee-hours it uses each day. The table below describes the relationship between the number of employee-hours the firm uses each day and the firm's daily output. Each unit of output sells for $2, the hourly wage rate is $14, and the rent on the office space is $50 per day.Employee-HoursPer DayOutputPer Day0014048091201516023200When the firm uses 9 employee-hours, its total labor cost each day is:
A. $30 B. $126 C. $56 D. $84
Under the Toxic Substances Control Act (TSCA)
a. a registration procedure is used to control the introduction of new chemical substances b. manufacturers are required to notify the government of a new chemical by the day it is introduced into commerce c. producers must notify the government 90 days before they plan to produce a new chemical d. the EPA has one year to evaluate the risks and respond to a manufacturer’s premanufacture notice (PMN) of a new chemical
Which of the following is an example of an organization using marginal analysis?
a. A government official considering what effect an increase in military goods production will have on the production of consumer goods. b. A farmer hoping for rain. c. A businessman calculating economics profits. d. A hotel manager calculating the average cost per guest for the past year.
An import ban on sugar decreases the price of sugar, decreases the quantity of sugar, and increases the output of the domestic sugar industry.
Answer the following statement true (T) or false (F)