Author Question: Suppose that a monopolistically competitive firm is in long-run equilibrium. The firm's demand curve ... (Read 150 times)

anshika

  • Hero Member
  • *****
  • Posts: 510
Suppose that a monopolistically competitive firm is in long-run equilibrium. The firm's demand curve is tangent to its average cost curve at Q = 25 . Average cost is minimized at Q = 35, where average cost is 50 . Which of the following is true?
 a. This firm charges 50 for the good.
  b. This firm charges more than 50 for the good.
  c. This firm charges less than 50 for the good.
  d. The firm has excess capacity at all output levels greater than 35 units.
  e. Average cost is 50 at the profit-maximizing output level.

Question 2

Sally, Kelly, and Debbie are roommates deciding on how many cats they want in the apartment. Sally prefers three cats to two cats to one cat, Kelly prefers two to one to three, and Debbie prefers one to two to three. If they decide by majority vote (one versus two, two versus three, and so on), how many cats will they get?
 a. none
  b. one
  c. two
  d. three
  e. the answer cannot be determined from the information given



Animal_Goddess

  • Sr. Member
  • ****
  • Posts: 339
Answer to Question 1

B

Answer to Question 2

C



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question


 

Did you know?

Vital signs (blood pressure, temperature, pulse rate, respiration rate) should be taken before any drug administration. Patients should be informed not to use tobacco or caffeine at least 30 minutes before their appointment.

Did you know?

Street names for barbiturates include reds, red devils, yellow jackets, blue heavens, Christmas trees, and rainbows. They are commonly referred to as downers.

Did you know?

Prostaglandins were first isolated from human semen in Sweden in the 1930s. They were so named because the researcher thought that they came from the prostate gland. In fact, prostaglandins exist and are synthesized in almost every cell of the body.

Did you know?

The people with the highest levels of LDL are Mexican American males and non-Hispanic black females.

Did you know?

Giardia is one of the most common intestinal parasites worldwide, and infects up to 20% of the world population, mostly in poorer countries with inadequate sanitation. Infections are most common in children, though chronic Giardia is more common in adults.

For a complete list of videos, visit our video library