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

Author Question: Which of the following best explains why a firm in a perfectly competitive market must take the ... (Read 44 times)

karlynnae

  • Hero Member
  • *****
  • Posts: 599
on: Jun 30, 2018
Which of the following best explains why a firm in a perfectly competitive market must take the price determined in the market?
 a. The short-run average total costs of firms that are price takers will be constant.
  b. If a price taker increased its price, consumers would buy from other suppliers.
  c. Firms in a price-taker market will have to advertise in order to increase sales.
  d. There are no good substitutes for the product supplied by a firm that is a price taker.

Question 2

Which of the following is true for a lower price elasticity of demand coefficient?
 a. The market is broadly defined.
  b. The quantity demanded is more responsive.
  c. Few substitutes exist.
  d. Many substitutes exist.
  e. All of these.


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

Sarahjh

  • Sr. Member
  • ****
  • Posts: 370
Reply #1 on: Jun 30, 2018
Answer to Question 1

b

Answer to Question 2

c


karlynnae

  • Member
  • Posts: 599
Reply 2 on: Jun 30, 2018
Gracias!

bitingbit

  • Member
  • Posts: 323
Reply 3 on: Yesterday
YES! Correct, THANKS for helping me on my review

« previous next »
 

Did you know?

Your heart beats over 36 million times a year.

Did you know?

Cocaine was isolated in 1860 and first used as a local anesthetic in 1884. Its first clinical use was by Sigmund Freud to wean a patient from morphine addiction. The fictional character Sherlock Holmes was supposed to be addicted to cocaine by injection.

Did you know?

Approximately one in four people diagnosed with diabetes will develop foot problems. Of these, about one-third will require lower extremity amputation.

Did you know?

About 3% of all pregnant women will give birth to twins, which is an increase in rate of nearly 60% since the early 1980s.

Did you know?

After a vasectomy, it takes about 12 ejaculations to clear out sperm that were already beyond the blocked area.

Many types of edible fungi are grown for the market. Many types of edible fungi are grown for the market.
A single-gene model explains Mendel’s ratios A single-gene model explains Mendel’s ratios
Norway lobsters on sale at a Spanish market Norway lobsters on sale at a Spanish market
Eye ball perfectly labelled (map) Eye ball perfectly labelled (map)
The footnote on a Nutrition Facts label explains the Recommended Daily Values that are the basis of ... The footnote on a Nutrition Facts label explains the Recommended Daily Values that are the basis of ...
A car wash reduced the price of a basic wash as a promotion and test of the market. With the ... A car wash reduced the price of a basic wash as a promotion and test of the market. With the ...
Video: Introduction to Sickle Cell Anemia

For a complete list of videos, visit our video library