A perfectly competitive firm's marginal cost curve above the average variable cost curve is its: Select...

A perfectly competitive firm's marginal cost curve above the average variable cost curve is its:

Select one:

a. total revenue curve.

b. short-run supply curve.

c. input demand curve.

d. marginal revenue curve.

Solutions

Expert Solution

A perfectly competitive firm's marginal cost curve above the average variable cost curve is its short-run supply curve. This is explained below

Thus (b) is correct option.

Rahul Sunny answered 1 year ago

Next > < Previous

Related Solutions

A perfectly competitive firm's short-run supply curve is: A. its marginal cost curve above the AVC...

A perfectly competitive firm's short-run supply curve is: A. its marginal cost curve above the AVC curve B. its marginal cost curve below the marginal revenue curve C. horizontal at the market price D. its total cost curve above the AVC E. its marginal revenue curve below the ATC curve

The short-run supply curve for a perfectly competitive firm is its A. marginal cost curve above...

The short-run supply curve for a perfectly competitive firm is its A. marginal cost curve above the average variable cost curve. B. marginal cost curve above the average fixed cost curve. C. average variable cost curve above the marginal cost curve. D. average variable cost curve above the average total cost curve. E. average variable cost curve above the average fixed cost curve.

When price exceeds average variable cost in the short run, a competitive firm's marginal cost curve...

When price exceeds average variable cost in the short run, a competitive firm's marginal cost curve is regarded as its supply curve because a. the position of the marginal cost curve determines the price for which the firm should sell its product. b. among the various cost curves, the marginal cost curve is the only one that slopes upward. c. the marginal cost curve determines the quantity of output the firm is willing to supply at any...

The competitive firm's short-run supply curve is that portion of the Select one: a. marginal cost...

The competitive firm's short-run supply curve is that portion of the Select one: a. marginal cost curve that lies above average total cost. b. average variable cost curve that lies above marginal cost. c. average total cost curve that lies above marginal cost. d. marginal cost curve that lies above average variable cost.

In a price-taker market, each firm's short run supply curve is its marginal cost curve, above its minimum average total cost.

7) T/F In a price-taker market, each firm's short run supply curve is its marginal cost curve, above its minimum average total cost.8) T/F The limited liability of stockholders in the corporate business structure makes it harder to raise equity capital.9) T/F In the year 2008, nearly three out of four business firms in the United States were organized as proprietorships.10) T/F When demand is relatively price inelastic, price and total revenue will change in the same direction.11) T/F As...

For a perfectly competitive firm, the a.demand curve is the same as the marginal cost curve....

For a perfectly competitive firm, the a.demand curve is the same as the marginal cost curve. b.demand curve is the same as the marginal revenue curve. c.demand curve lies above the marginal revenue curve. d.demand curve is downward-sloping. e.none of the above

For a perfectly competitive firm, total cost TC=300Q-20Q2+0.5Q3 a. Determine the firm's marginal cost(MC) and Average...

For a perfectly competitive firm, total cost TC=300Q-20Q2+0.5Q3 a. Determine the firm's marginal cost(MC) and Average Total Cost(ATC): b. Determine the firm's long-run profit maximizing output and price: c.If Price=146, what quantity will the perfect competitor produce at this price? d. If Price=146, what is the perfect competitor's economic profit?

(a) Explain why the marginal cost curve above the average variables cost curve is referred to...

(a) Explain why the marginal cost curve above the average variables cost curve is referred to as the firm’s short run supply curve? ( use both verbal and diagram analysis)

What curve coincides with (equals) a firm’s marginal-cost curve that’s lies just above the firm’s average-variable...

What curve coincides with (equals) a firm’s marginal-cost curve that’s lies just above the firm’s average-variable cost curve? Explain why they coincide.

A perfectly competitive firm's short-run supply curve is

A perfectly competitive firm's short-run supply curve isupward sloping and is the portion of the marginal cost curve that lies above the average total cost curve.upward sloping and is the portion of the marginal cost curve that lies above the average variable cost curve.perfectly elastic at the market price.horizontal at the minimum average total cost.

Subjects