A firm's Lerner Index:
A. is the amount by which its price exceeds its marginal cost, expressed as a percentage of its price.
B. is the amount by which its marginal cost exceeds its average cost.
C. is the amount by which its average cost exceeds its marginal cost.
D. is the value of its profit.
A. is the amount by which its price exceeds its marginal cost, expressed as a percentage of its price.
Economics
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When MFC = MRP, a firm in a competitive market will
A) stop hiring more workers. B) hire more workers. C) earn additional profits. D) layoff workers.
Economics
Marginal cost is the ________ associated with a particular increase in an activity
A) total cost B) additional cost C) opportunity cost D) forgone cost
Economics