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

Author Question: Because of a decrease in the wage rate it must pay, a perfectly competitive firm's marginal costs ... (Read 131 times)

123654777

  • Hero Member
  • *****
  • Posts: 585
on: Jun 29, 2018
Because of a decrease in the wage rate it must pay, a perfectly competitive firm's marginal costs decrease but its demand curve stays the same. As a result, the firm
 
  A) decreases the amount of output it produces and raises its price.
  B) increases the amount of output it produces and lowers it price.
  C) increases the amount of output it produces and does not change its price.
  D) decreases the amount of output it produces and lowers its price.

Question 2

Which of these is NOT a potential source of inefficiency?
 
  A) external benefits
  B) increasing marginal costs
  C) monopoly
  D) subsidies


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

lou

  • Sr. Member
  • ****
  • Posts: 286
Reply #1 on: Jun 29, 2018
Answer to Question 1

C

Answer to Question 2

B


123654777

  • Member
  • Posts: 585
Reply 2 on: Jun 29, 2018
Thanks for the timely response, appreciate it

cam1229

  • Member
  • Posts: 329
Reply 3 on: Yesterday
:D TYSM

« previous next »
 

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?

Inotropic therapy does not have a role in the treatment of most heart failure patients. These drugs can make patients feel and function better but usually do not lengthen the predicted length of their lives.

Did you know?

Anti-aging claims should not ever be believed. There is no supplement, medication, or any other substance that has been proven to slow or stop the aging process.

Did you know?

Vampire bats have a natural anticoagulant in their saliva that permits continuous bleeding after they painlessly open a wound with their incisors. This capillary blood does not cause any significant blood loss to their victims.

Did you know?

To prove that stomach ulcers were caused by bacteria and not by stress, a researcher consumed an entire laboratory beaker full of bacterial culture. After this, he did indeed develop stomach ulcers, and won the Nobel Prize for his discovery.

Rate enhancement by entropy reduction Rate enhancement by entropy reduction
The level of future emissions is closely linked to the rate of population growth The level of future emissions is closely linked to the rate of population growth
Outgroup role in relative rate test Outgroup role in relative rate test
You make 4 semi-annual deposits starting at $350 and increasing at a constant rate of 2.14%. ... You make 4 semi-annual deposits starting at $350 and increasing at a constant rate of 2.14%. ...
The rate of replacement of a recessive allele d by the dominant allele D by mutation alone. Even tho The rate of replacement of a recessive allele d by the dominant allele D by mutation alone. Even tho
Decrease in mean haplotype heterozygosity Decrease in mean haplotype heterozygosity
Video: Introduction to Diabetes

For a complete list of videos, visit our video library