The golden rule of profit maximization states that any firm maximizes profit by producing where
a. demand is unit elastic, and total revenue is greatest
b. price equals average revenue
c. price equals marginal revenue
d. price equals marginal cost
e. marginal revenue equals marginal cost
E
Economics
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The function of money that provides for a commonly recognized measure of value for the price system is a(n)
A) medium of exchange. B) unit of accounting. C) store of value. D) standard of deferred payment.
Economics
The efficiency loss of a tax is:
A. the net value of sacrificed output caused by the tax. B. that portion of the tax paid by producers minus the portion paid by consumers. C. that portion of the tax paid by consumers minus the portion paid by producers. D. the total tax revenue minus the output loss caused by the tax.
Economics