Author Question: Firms in a monopolistically competitive market structure maximize their profit by producing an ... (Read 78 times)

cool · **on:** Jun 30, 2018

Firms in a monopolistically competitive market structure maximize their profit by producing an output where:
a. price equals average total cost.
b. marginal cost equals average total cost.
c. marginal cost equals price.
d. marginal revenue equals marginal cost.

Question 2

A line that represents combinations of two goods that a consumer can purchase with a fixed income and given price for each good is called the:
a. indifference curve.
b. demand curve.
c. budget line.
d. money line.