« previous next »

Author Question: If, for a perfectly competitive firm, price exceeds the marginal cost of production, the firm should ... (Read 154 times)

Coya19@aol.com

  • Hero Member
  • *****
  • Posts: 601
on: Jun 29, 2018
If, for a perfectly competitive firm, price exceeds the marginal cost of production, the firm should
 
  A) reduce its output.
  B) increase its output.
  C) lower the price.
  D) keep output constant and enjoy the above normal profit.

Question 2

The income effect of a decrease in the price of legal services, a normal good, results in
 
  A) an increase in the demand for legal services.
  B) an increase in the quantity of legal services demanded.
  C) a decrease in the demand for legal services.
  D) a decrease in the quantity of legal services demanded.
InMicro ¦ Hubbard, O'Brien ¦ 1st Edition
Buy Test-Bank


mcni194

  • Sr. Member
  • ****
  • Posts: 311
Reply #1 on: Jun 29, 2018
Answer to Question 1

B

Answer to Question 2

B


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
« previous next »
 

Did you know?

Multiple sclerosis is a condition wherein the body's nervous system is weakened by an autoimmune reaction that attacks the myelin sheaths of neurons.

Did you know?

In Eastern Europe and Russia, interferon is administered intranasally in varied doses for the common cold and influenza. It is claimed that this treatment can lower the risk of infection by as much as 60–70%.

Did you know?

Many people have small pouches in their colons that bulge outward through weak spots. Each pouch is called a diverticulum. About 10% of Americans older than age 40 years have diverticulosis, which, when the pouches become infected or inflamed, is called diverticulitis. The main cause of diverticular disease is a low-fiber diet.

Did you know?

If all the neurons in the human body were lined up, they would stretch more than 600 miles.

Did you know?

Many of the drugs used by neuroscientists are derived from toxic plants and venomous animals (such as snakes, spiders, snails, and puffer fish).

World Aquaculture Production "لإنتاج العالمي لتربية الأحياء" World Aquaculture Production "لإنتاج العالمي لتربية الأحياء"
Role of Factors of Production in Determining Output per Worker, 2009 Role of Factors of Production in Determining Output per Worker, 2009
A Production Function with Diminishing Marginal Product of Capital A Production Function with Diminishing Marginal Product of Capital
Production and Prices in Richland and Poorland Production and Prices in Richland and Poorland
When operating your own business, it is wise to know your cost of capital and that of the ... When operating your own business, it is wise to know your cost of capital and that of the ...
No gene interaction in the production of feather color in budgerigar parakeets No gene interaction in the production of feather color in budgerigar parakeets
Video: Blood Pressure Measurement

For a complete list of videos, visit our video library