ch 10 hw Flashcards
(10 cards)
In which of the following market structures is there clear-cut mutual interdependence with respect to price-output policies?
oligopoly
Output Marginal Revenue Marginal Cost 0 -- -- 1 $16 $10 2 16 9 3 16 13 4 16 17 5 16 21 Refer to the data in the accompanying table. Assuming total fixed costs equal to zero, the firm's Select one:
A.
loss is $14.
B.
economic profit is $12.
C.
economic profit is $16.
D.
economic profit is $3.
economic profit is $16.
Output Marginal Revenue Marginal Cost 0 -- -- 1 $16 $10 2 16 9 3 16 13 4 16 17 5 16 21 Refer to the data in the accompanying table. Assuming total fixed costs equal to zero, the firm's Select one:
A.
loss is $14.
B.
economic profit is $12.
C.
economic profit is $16.
D.
economic profit is $3.
economic profit is $16.
Output Marginal Revenue Marginal Cost 0 -- -- 1 $16 $10 2 16 9 3 16 13 4 16 17 5 16 21 Refer to the data in the accompanying table. At the profit-maximizing output, the firm's total revenue is Select one:
A.
$48.
B.
$32.
C.
$80.
D.
$64.
$48.
The lowest point on a purely competitive firm’s short-run supply curve corresponds to
the minimum point on its AVC curve.
An industry comprising a very large number of sellers producing a standardized product is known as
pure competition.
If a purely competitive firm is producing at the P = MC output and realizing an economic profit, at that output
marginal revenue exceeds ATC.
The Campus Crustacean Company receives $2 per box for its crawfish and is selling 1,600 boxes to maximize its profits. What is the profit per box of crawfish at this equilibrium level of output if the average variable cost is $1 per box and total fixed costs are $1,200?
$0.25
A perfectly elastic demand curve implies that the firm
can sell as much output as it chooses at the existing price.
In which of the following industry structures is the entry of new firms the most difficult?
pure monopoly
