For firms that sell one product in a perfectly competitive market, the market price:
A. will remain constant regardless of an individual firm's output decision.
B. is equal to the average total cost of a firm.
C. is equal to the marginal cost of a firm.
D. All of these are true.
A. will remain constant regardless of an individual firm's output decision.
You might also like to view...
For consumers with a binding borrowing constraint, a decrease in the real interest rate ________
A) decreases consumption now, and in the future B) increases consumption now, and in the future C) decreases consumption now, and increases future consumption D) has no impact on consumption
The aggregate production function shows us that increasing the number of workers employed will increase output at a constant rate
a. True b. False
The demand curve shows the relationship between
A. the demand and supply schedules. B. demand and supply equilibrium. C. price and quantity demanded. D. None of these choices are correct.
Celia wants to make an 8% real return on a loan that she is planning to make, and the expected inflation rate during the period of the loan is 5%. She should charge an interest rate of
A. 3%. B. 5%. C. 8%. D. 13%.