Homework Clinic

Social Science Clinic => Economics => Topic started by: hbsimmons88 on Apr 19, 2019

Title: Dominic sells pizza slices for $5 on the Santa Monica Pier. He currently sells 500 slices of pizza ...
Post by: hbsimmons88 on Apr 19, 2019

Question 1

The ________ part of a perfectly competitive firm's marginal cost curve is the firm's short-run supply curve.

◦ rising
◦ falling
◦ horizontal
◦ backward-bending

Question 2

Dominic sells pizza slices for $5 on the Santa Monica Pier. He currently sells 500 slices of pizza per day.This is a perfectly competitive business, and Dominic faces a perfectly price elastic demand curve. If he wants to try to increase daily revenues to $3,000, he should

◦ raise the price of his pizza to $6 per slice and continue to sell 500 slices per day.
◦ lower the price of his pizza to $4 per slice and try to sell 750 slices per day.
◦ keep the price at $5 per slice and produce 600 slices per day.
◦ do nothing since he can do nothing to increase revenue.

Title: Dominic sells pizza slices for $5 on the Santa Monica Pier. He currently sells 500 slices of pizza ...
Post by: wfdfwc23 on Apr 19, 2019

Answer 1

rising

Answer 2

keep the price at $5 per slice and produce 600 slices per day.

Title: Re: Dominic sells pizza slices for $5 on the Santa Monica Pier. He currently sells 500 slices of piz
Post by: Jason Watson on Jun 25, 2021

thankyou