The perfectly elastic demand curve faced by a competitive firm means that
A) the firm could increase total revenue by increasing the price.
B) it could actually sell an infinite amount of output at the going price.
C) the product's price will be unaffected by any realistic change in the firm's level of output.
D) total revenue is constant regardless of quantity produced.
E) as the firm expands output its marginal revenue will fall.
Correct Answer:
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Q1: Consider the price and quantity data
Q2: If a firm in a perfectly competitive
Q4: Consider the following short- run cost curves
Q5: Consider the following cost curves for Firm
Q6: If firms in a competitive industry are
Q7: A perfectly competitive firm's total revenue is
Q8: Consider a perfectly competitive firm when its
Q9: Refer to Table 9- 1.Suppose this firm
Q10: Firms have several different concepts of revenue:
Q11: The short- run supply curve for a
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