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-In the Above Figure, What Happens to the Firm's Optimal

Question 140

Multiple Choice

-In the above figure, what happens to the firm's optimal level of output if the price it receives for its product decreases from P<sub>4</sub> to P<sub>3</sub>? A) Output stays the same. B) Output decreases. C) Output increases. D) There is not enough information provided to know what happens to output.
-In the above figure, what happens to the firm's optimal level of output if the price it receives for its product decreases from P4 to P3?


A) Output stays the same.
B) Output decreases.
C) Output increases.
D) There is not enough information provided to know what happens to output.

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