In the long run, a perfectly competitive firm can make an ...

[809779]

In the long run, a perfectly competitive firm can make an economic profit because its marginal cost equals its average total cost.
 
  Indicate whether the statement is true or false

Question 2

What does the slope of the budget line equal?
 
  What will be an ideal response?

[anoriega3]

Answer to Question 1

FALSE

Answer to Question 2

The slope of the budget line equals an opportunity cost. It is the same as the opportunity cost of the good measured along the x-axis. It also equals a relative price. In particular, it is the same as the relative price of the good measured along the x-axis.

[809779]

Excellent

[matt95]

Thanks for the timely response, appreciate it