Quiz 9 part 1
Terms in this set (6)
A market is competitive if ...
- Each buyer is small compared to the market.
- The good offered for sale is largely the same.
When price rises from P2 to P3
- MR exceeds MC at a production of Q2
- Producing at output Q3 will earn zero profit.
- Expanding output to Q4 would leave the firm with losses.
Price falls from P3 to P1
They are unwilling to produce any output.
Price rises from P3 to P4
Can earn profits by increasing production to Q4
What are necessary characteristics of a monopoly?
- The firm is the sole seller of its product.
- The firm's product does not have close substitutes.
When a firm's average total cost curve continually declines as output increases, the firm is a
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L23 Not for profit marketing
L22 Ethical Marketing Practices
L21 Consumption and Wellbeing
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THIS SET IS OFTEN IN FOLDERS WITH...
4. Money Inflation & Monetary System
6. Exchange Rates and the Real Exchange Rate