In a competitive marketplace, prices adjust until

A) MRS's are equal to zero.
B) excess supply equals excess demand equals zero in all markets.
C) each consumer has maximized utility subject to his budget constraint.
D) all firms earn zero profit.

B

Economics

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The main purpose of expansionary monetary policy is to

a. expand Treasury borrowing. b. increase reserve requirements. c. insure deposits. d. reduce interest rates.

Economics

If monetary policy is fully anticipated by workers and firms, then it has no effect on the level of output; it affects only the price level

Indicate whether the statement is true or false

Economics