The monopolistically competitive firm in short-run equilibrium
a. faces a downward-sloping demand curve.
b. has a marginal revenue curve which lies below its demand curve.
c. maximizes profit where MR = MC.
d. All of the above are correct.
d
Economics
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An increase in the capital stock will
A) flatten the production function. B) steepen the production function. C) shift the production function upward. D) shift the production function downward.
Economics
The cross elasticity of demand for substitute goods must
a. be greater than one b. be less than one c. be zero d. exceed zero e. be negative
Economics