If a firm in a perfectly competitive market raises its price
A) it will sell more products.
B) it will sell fewer products.
C) its sales will remain unchanged.
D) it will sell nothing.
D
You might also like to view...
Consider a monopolist facing a linear (inverse) demand curve given by:
p = a - bQ Show with calculus that the marginal revenue in fact has the same price-axis intercept but twice the slope as the inverse demand curve above.
Which of the following government policies might increase labor supply?
a. Increasing transfer payments to the needy. b. Decreasing income tax rates. c. Increasing income tax rates. d. Increasing the availability of government training programs. e. Increase payroll taxes.
A depreciation of the dollar will cause an increase in the Consumer Price Index
a. True b. False Indicate whether the statement is true or false
If the cross-price elasticity of demand for two goods is 1.25, then
a. the two goods are luxuries. b. the two goods are substitutes. c. one of the goods is normal and the other good is inferior. d. the demand for one of the goods conforms to the law of demand, but the demand for the other good violates the law of demand.