Which of the following statements is true
a. a market equilibrium price is where quantity demanded equals quantity supplied
b. a market equilibrium price is where the demand is higher than the supply
c. a market equilibrium price is where the supply is higher than the demand
d. none of the above
a
You might also like to view...
According to your textbook, what is the general rule to follow in order to maximize net revenue?
A) Take any action if, but only if, the expected marginal revenue exceeds the expected marginal cost. B) Take any action you expect will not be copied by your competitors. C) Take as many innovative actions as you can, and leave the copying up to smaller firms in the market because they are least likely to increase their market share. D) Charge the lowest possible price.
The economy's marginal benefit curve for a public good is found by ________ for all individuals
A) vertically summing the marginal benefit curves B) vertically summing the total benefit curves C) horizontally summing the total benefit curves D) horizontally summing the marginal benefit curves
In order for a voluntary agreement to be reached in general, transaction costs should be
A) infinite. B) high relative to expected marginal benefits of the agreement. C) low relative to expected marginal benefits of the agreement. D) determined by the Environmental Protection Agency.
In the diagram below, the profit maximizing firm is 
A. making negative economic profit. B. making zero economic profit. C. making positive economic profit. D. one cannot tell.