Assume that a firm's marginal revenue just barely exceeds ...

[brutforce]

Assume that a firm's marginal revenue just barely exceeds marginal cost. Under these conditions the firm should:
 a. expand output.
  b. contract output.
  c. maintain output.
  d. There is insufficient information to answer the question.

Question 2

In Exhibit 5-9, the price elasticity of supply for good X between points E and C is:
 a. 7/5 = 1.40.
  b. 1/5 =0.20.
  c. 5/7 = 0.71.
  d. 1.

[lorealeza77]

Answer to Question 1

a

Answer to Question 2

c

[brutforce]

Thank you

[lorealeza77]

Happy to help you