For prices above the lowest point on the AVC curve, the supply curve for a perfectly competitive firm corresponds to the firm's
A) MC curve
B) AVC curve
C) ATC curve

Question

Quizplus · Accepted Answer

For prices above the lowest point on the AVC curve, a perfectly competitive firm will produce where MR=MC. Therefore, the supply curve will correspond to the firm's MC curve.

For Prices Above the Lowest Point on the AVC Curve