A profit-maximizing firm always
A. sells its output at P = MR.
B. produces at the output at which MR = 0.
C. hires labor until the MRP of labor = 0.
D. produces every unit of output for which MR > MC.
Answer: D
You might also like to view...
The Drug Price Competition and Patent Term Restoration Act of 1984 fostered competition from generic drugs by facilitating their approval
Indicate whether the statement is true or false
Answer the question based on the table below.PriceQuantityTFCTVC$55$25$10510252051525505202560At what point on the table would a purely competitive firm cover all of its costs and earn only normal profits?
A. Q = 5 B. Q = 10 C. Q = 20 D. Q = 15
In general in the U.S., persons classified as poor have money income that amounts to
A. less than half the median income. B. three quarters of the median income. C. the median income. D. half the median income.
The Federal Reserve System was established in 1913 in response to the
A) First World War. B) bank panic of 1907. C) depression of 1883. D) prosperity of the 1920s.