The profit-maximizing output for the perfectly competitive firm occurs at the point at which
A) TR - MR is at a maximum.
B) TR - TC is at a minimum.
C) MR = MC.
D) TR - ATC is at a maximum.
Answer: C
Economics
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A) marginal benefit exceeds marginal cost. B) marginal benefit equals marginal cost. C) marginal benefit is lower than marginal cost. D) the marginal cost stops increasing. E) marginal benefit exceeds marginal cost by the maximum amount possible.
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Medicare and Social Security are examples of
A) transfer payment programs. B) public goods. C) programs that do not respond to rational economic incentives. D) the efficient allocation of resources under a free market system.
Economics