Briefly explain why you think the
following statements are true, false, or uncertain.
Your grade will depend largely on the quality of your
explanations.
Profit function is homogenous of degree one and non-decreasing
in input prices.
If the demand faced by a firm is inelastic, selling one more
unit of output will decrease revenues.
It is usually assumed that a perfectly competitive firm's
supply curve is given by its marginal cost curve. In order for this
to be true, these...