If a firm increases output when MR < MC, then: a. profit will ...

[luminitza]

If a firm increases output when MR < MC, then:
 a. profit will equal zero.
  b. profit will increase.
  c. profit will decrease.
  d. profit will remain the same.
  e. the firm is minimizing losses.

Question 2

If a good is inferior in an economic sense:
 a. it is demand price elastic.
  b. it is demand price inelastic.
  c. the income elasticity of demand is negative.
  d. it is a low-quality good.
  e. it is not the highest quality good in its class.

[maya.nigrin17@yahoo.com]

Answer to Question 1

c

Answer to Question 2

c

[luminitza]

Thanks for the timely response, appreciate it

[xiaomengxian]

Excellent