If a perfectly competitive firm like the one depicted in Figure 9-3 produces 575 units
a.
its profit will be larger than if it produces only 475
b.
its profit will be exactly the same as if it produces 475
c.
its profit will be smaller than if it produces only 475
d.
it will be forced to shutdown
e.
its profit will be smaller than if it produced 475 but it will still make a profit.
c
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Tobin's model of the speculative demand for money shows that people hold money as a ________ as a way of reducing ________
A) medium of exchange; transaction costs B) medium of exchange; risk C) store of wealth; transaction costs D) store of wealth; risk
What oligopolist pricing theory is based on firm awareness of how competing firms will react to actions it takes and develops strategies based on that reaction?
a. game theory b. profit-maximizing theory c. price leadership theory d. price discrimination theory e. theory of competition