Author Question: The fundamental rule of profit maximization for firms is to produce where: a. MR = MC. b. ATC is ... (Read 140 times)

PhilipSeeMore · **on:** Jun 30, 2018

The fundamental rule of profit maximization for firms is to produce where:
a. MR = MC.
b. ATC is minimized.
c. quantity of output is maximized.
d. price is maximized.
e. total revenue is maximized.

Question 2

An inferior good is:
a. any good of low quality.
b. one that consumers buy less of at a higher price.
c. one that consumers buy less of as their income rises.
d. one that has few substitutes.
e. any good made with inexpensive labor.