This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: Because of a decrease in the wage rate it must pay, a perfectly competitive firm's marginal costs ... (Read 140 times)

123654777

  • Hero Member
  • *****
  • Posts: 585
on: Jun 29, 2018
Because of a decrease in the wage rate it must pay, a perfectly competitive firm's marginal costs decrease but its demand curve stays the same. As a result, the firm
 
  A) decreases the amount of output it produces and raises its price.
  B) increases the amount of output it produces and lowers it price.
  C) increases the amount of output it produces and does not change its price.
  D) decreases the amount of output it produces and lowers its price.

Question 2

Which of these is NOT a potential source of inefficiency?
 
  A) external benefits
  B) increasing marginal costs
  C) monopoly
  D) subsidies


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

lou

  • Sr. Member
  • ****
  • Posts: 286
Reply #1 on: Jun 29, 2018
Answer to Question 1

C

Answer to Question 2

B


123654777

  • Member
  • Posts: 585
Reply 2 on: Jun 29, 2018
Wow, this really help

strudel15

  • Member
  • Posts: 324
Reply 3 on: Yesterday
YES! Correct, THANKS for helping me on my review

« previous next »
 

Did you know?

As many as 20% of Americans have been infected by the fungus known as Histoplasmosis. While most people are asymptomatic or only have slight symptoms, infection can progress to a rapid and potentially fatal superinfection.

Did you know?

GI conditions that will keep you out of the U.S. armed services include ulcers, varices, fistulas, esophagitis, gastritis, congenital abnormalities, inflammatory bowel disease, enteritis, colitis, proctitis, duodenal diverticula, malabsorption syndromes, hepatitis, cirrhosis, cysts, abscesses, pancreatitis, polyps, certain hemorrhoids, splenomegaly, hernias, recent abdominal surgery, GI bypass or stomach stapling, and artificial GI openings.

Did you know?

Egg cells are about the size of a grain of sand. They are formed inside of a female's ovaries before she is even born.

Did you know?

The strongest synthetic topical retinoid drug available, tazarotene, is used to treat sun-damaged skin, acne, and psoriasis.

Did you know?

Hippocrates noted that blood separates into four differently colored liquids when removed from the body and examined: a pure red liquid mixed with white liquid material with a yellow-colored froth at the top and a black substance that settles underneath; he named these the four humors (for blood, phlegm, yellow bile, and black bile).

Energy costs of locomotion. Energy costs of locomotion.
The rate of evolution in short­ and long­lived plants The rate of evolution in short­ and long­lived plants
Effects of competitive inhibition on enzyme kinetics Effects of competitive inhibition on enzyme kinetics
Marginal Supply - Demand Curve Marginal Supply - Demand Curve
Total Fertility Rate in the United States, 1860–2008 Total Fertility Rate in the United States, 1860–2008
Compute the rate of discount allowed on a rontor -tiller that lists for K 341 and is sold for K ... Compute the rate of discount allowed on a rontor -tiller that lists for K 341 and is sold for K ...
Video: Negative Feedback Regulation of Blood Pressure

For a complete list of videos, visit our video library