If the demand for the Ford Mustang increases, we would expect Ford to
A) keep the price of Mustangs constant, regardless of the cost or benefit of a price change.
B) increase the price of Mustangs to keep pace with the increase in demand.
C) increase the price of Mustangs only if the benefit of a price increase outweighs the cost.
D) decrease the price of Mustangs to maintain the increase in demand.
C
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The Acme Company is a perfect competitor in its input markets and its output market. Its average product of labor is 30, the marginal product of labor is 20, the price of labor is $20, and the price of the output is $5
For Acme Company, the marginal revenue product of labor A) is $100. B) is $150. C) is $400. D) is $600. E) cannot be determined with the information provided.
In a market economy, persons undertaking an investment project must
What will be an ideal response?