Which the the following statements ideal expresses a firm"s profit-maximizing decision rule? If marginal revenue is higher than marginal cost, the for sure should increase its output. If marginal revenue is less than marginal cost, the firm must shut under in the brief run. If marginal revenue equals marginal cost, the firm should produce exactly one an ext unit of output. All of the above are correct.

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A firm has market strength if it deserve to maximize profits. minimization costs. affect the market price that the great it sells. hire as countless workers together it demands at the prevailing wage rate.
For any competitive market, the supply curve is carefully related come the preferences of consumers who purchase products in that market. revenue tax prices of consumer in the market. firms" costs of manufacturing in that market. interest prices on government bonds.
A an essential characteristic that a competitive sector is that federal government antitrust laws regulate competition. producer sell nearly identical products. this firm minimize complete costs. firms have price setup power.
Which of the complying with is not a properties of a perfectly competitive market? Firms room price takers. that company have challenge entering the market. there are many sellers in the market. Goods available for sale are mostly the same.
Free entry method that the federal government pays any type of entry expenses for individual firms. no legal barriers prevent a firm from entering an industry. a firm"s marginal expense is zero. a firm has no fixed costs in the short run.
Why go a for sure in a competitive industry charge the market price? If a for sure charges less than the market price, it loses potential revenue. If a firm charges an ext than the industry price, the loses all its client to other firms. The firm deserve to sell as plenty of units of calculation as it desires to at the sector price. all of the above are correct.
Suppose a certain in a competitive industry reduces its output by 20 percent. Together a result, the price the its output is most likely to increase. stay unchanged. to decrease by less than 20 percent. diminish by more than 20 percent.
Which that the complying with statements about a competitive industry is no correct? there are countless buyers and also many sellers in the market. Firms can freely enter or exit the market. Price equates to average revenue. Price above marginal revenue.
If a firm in a perfectly competitive market triples the amount of output sold, then total revenue will an ext than triple. much less than triple. specifically triple. any kind of of the above may it is in true depending upon the firm"s labor productivity.
#11Refer come Table 14-3. For a firm operating in a competitive market, the price is $0. $7. $14. $21.
#12Refer come Table 14-3. Because that a firm operating in a compete market, the marginal revenue is $0. $7. $14. $21.
Firms operating in compete markets develop output levels wherein marginal revenue equals price. typical revenue. complete revenue separated by output. every one of the above are correct.
#14Refer to figure 14-1. The firm"s short-run it is provided curve is its marginal expense curve over $1. $3. $4.50. $6.30.

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#15Refer to number 14-1. If the industry price falls listed below $4.50, the firm will earn positive financial profits in the short run. an unfavorable economic earnings in the quick run but remain in business. an unfavorable economic revenues in the quick run and also shut down. zero financial profits in the short run.