A slight increase in the marginal cost of a firm definitely leads to a reduction in its output if the firm competes in the: A. Sweezy fashion. B. Cournot fashion. C. Bertrand fashion. D. Cournot fashion and Bertrand fashion.

A slight increase in the marginal cost of a firm definitely leads to a reduction in its output if the firm competes in the: A. Sweezy fashion. B. Cournot fashion. C. Bertrand fashion. D. Cournot fashion and Bertrand fashion.

Principles of Economics, 7th Edition (MindTap Course List)

7th Edition

ISBN:9781285165875

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter14: Firms In Competitive Markets

Section14.3: The Supply Curve In A Competitive Market

Problem 3QQ

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Question

A slight increase in the marginal cost of a firm definitely leads to a reduction in its output if the firm competes in the:

A. Sweezy fashion.

B. Cournot fashion.

C. Bertrand fashion.

D. Cournot fashion and Bertrand fashion.

Please explain your answer!

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