If a competitive firm maximizes short-run profits by producing some quantity of output, which of the following must be true at that level of output?
A: p > MC
B: MR > MC
C: p ≥ AVC
D: All of the above
A: p > MC
B: MR > MC
C: p ≥ AVC
D: All of the above
举一反三
- If a competitive firm maximizes short-run profits by producing some quantity of output, which of the following must be true at that level of output? A: p ≥ AVC B: MR > MC C: All of the above D: p > MC
- If a competitive firm maximizes short-run profits by producing some quantity of output, which of the following must be true at that level of output?
- Which of the following will be true for a competitive firm in long-run equilibrium? A: P = MC B: P = ATC C: ATC = MC D: All of the above are correct.
- In the long-run, a firm in monopolistic competition produces at an output level where A: P > ATC and MR = MC. B: P > ATC and MR > MC. C: P = ATC and MR = MC. D: P = ATC and MR > MC.
- A monopolist maximizes profits by A: producing an output level where marginal revenue equals marginal cost. B: charging a price that is greater than marginal revenue. C: earning a profit of (P - MC) x Q. D: Both a and b are correct.