Market supply is found by

A) vertically summing the relevant part of each individual producer's marginal cost curve.
B) horizontally summing the relevant part of each individual producer's marginal cost curve.
C) vertically summing each individual producer's average total cost curve.
D) horizontally summing each individual producer's average total cost curve.

Answer: B

Economics

You might also like to view...

Is a firm technologically efficient if it uses the latest technology? Why or why not?

What will be an ideal response?

Economics

Which of the following is true of the White test?

A. The White test is used to detect the presence of multicollinearity in a linear regression model. B. The White test cannot detect forms of heteroskedasticity that invalidate the usual Ordinary Least Squares standard errors. C. The White test can detect the presence of heteroskedasticty in a linear regression model even if the functional form is misspecified. D. The White test assumes that the square of the error term in a regression model is uncorrelated with all the independent variables, their squares and cross products.

Economics