The perfectly competitive firm represented in Figure 9-10 has a short-run supply curve that follows the
a.
marginal cost curve
b.
vertical axis for prices less than $4.00 and follows the marginal cost curve for prices above $4.00
c.
vertical axis for prices less than $2.50 and follows the marginal cost curve for prices above $2.50
d.
vertical axis for prices less than $5.50 and follows the marginal cost curve for prices above $5.50
e.
horizontal axis for quantities less than 50 and follows the marginal cost curve for quantities above 50
c
You might also like to view...
A higher price level causes us to
A) move up along an aggregate demand curve. B) move down along an aggregate demand curve. C) shift the aggregate demand curve to the right. D) shift the aggregate demand curve to the left.
Which of the following will cause a movement along the demand curve instead of a shift of the demand curve?
A) income B) tastes and preferences C) Expectations e the future price of a good D) none of the above