In the above figure, if the price is $4 per unit, how many units will a profit maximizing perfectly competitive firm produce?

It may be misleading to call water a necessity because

A) the amount of water a community consumes does not vary with the price people must pay for water. B) the demand for water does not obey the law of demand. C) the demand for water is highly elastic. D) the demand for water is highly inelastic. E) there are many uses of water for which good substitutes exist.

If two steel firms decide to merge, this merger would be classified as:

a. a horizontal merger. b. a vertical merger. c. a conglomerate merger. d. either a vertical or conglomerate merger depending on the nationality of the companies. e. either a vertical or conglomerate merger depending on the market shares of the two companies.