Solved

For a Small Firm in an Extremely Competitive Industry,marginal Revenue

Question 40

Multiple Choice

For a small firm in an extremely competitive industry,marginal revenue is always equal to price because:


A) the firm has no ability to influence the market price.(True Answer ) Correct
B) each firm has large economies of scale.
C) each firm has large fixed costs.
D) if consumers increase their demand for the product, producer surplus falls.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Q36: Reference: Ref 11-2(Table:</p></div><svg width=

Q37: (Table: Competitive Firm)</p></div><svg width=

Q38: (Figure: Costs of</p></div><svg width=

Q39: (Figure: Costs of</p></div><svg width=

Q41: Figure: Costs Figure: Costs </p></div><svg width=

Q42: (Table: Competitive Firm)</p></div><svg width=

Q43: Figure: Profits and Competitive Firms

Q44: Reference: Ref 11-7(Table:</p></div><svg width=

Q45: As the price of a good fluctuates,

Q93: Profit is positive whenever price is greater

Unlock this Answer For Free Now!

View this answer and more for free by performing one of the following actions

qr-code

Scan the QR code to install the App and get 2 free unlocks

upload documents

Unlock quizzes for free by uploading documents