Author Question: If a country operates on its PPF, it achieves production efficiency. Indicate whether the ... (Read 70 times)

MirandaLo · **on:** Jun 29, 2018

If a country operates on its PPF, it achieves production efficiency.

Indicate whether the statement is true or false

Question 2

The figure above shows the cost, marginal revenue, and demand curves of Golden Chow, a producer of dog food. The market for dog food is monopolistic competition. In the short run, Golden Chow sells 400 cans of dog food per day and makes ________.

Other firms have ________ incentive to enter the industry. A) an economic profit of 200 a day; an
B) an economic profit of 400 a day; an
C) a normal profit of 200 a day; no
D) an economic profit of 400 a day; no