Asked Oct 16, 2019

Under perfect competition, individual firms have no control over price. Therefore, the firm’s marginal revenue curve is:
A) indeterminate.
B) a downward-sloping curve.
C) constant at the market price of the product.
D) precisely the same as the firm’s total revenue curve.

check_circleExpert Solution
Step 1

Under perfect competition, individual firms have no control over price. Therefore, the firm’s margina...

-P = MR = AR

Image Transcriptionclose

Firm Cost MC AC -P = MR = AR Q* 0 Quantity


Want to see the full answer?

See Solution

Check out a sample Q&A here.

Want to see this answer and more?

Solutions are written by subject experts who are available 24/7. Questions are typically answered within 1 hour*

See Solution
*Response times may vary by subject and question
Tagged in



Cost of production

Related Economics Q&A

Find answers to questions asked by student like you

Show more Q&A add

Q: this table is tricky

A: Total utility is the sum of individual utility received by a consumer from consuming a particular qu...


Q: When supply and demand are equally elastic:     producers carry the majority of the tax burden...

A: When supply and demand elasticities are same, the tax burden borne by both buyers and sellers are eq...


Q: Question 34 Stephanos spends all of his $500 allowance on slices of pizza and gas for his pickup tru...

A: To calculate the percentage change in consumption of pizza.


Q: The growth rate of real GDP is 6.4% The growth rate of nominal GDP is 7.8% The nominal interest rate...

A: According to the quantity theory of money, inflation rate can be calculated as follows:


Q: A firm sells its product in a perfectly competitive market where other firms charge a price   of $90...

A: Given:Price (P)= $90MC = 10+4Q


Q: How do unanticipated changes affect market players' economic decisions?

A: The anticipated changes in the economy means that, the policy makers would respond to the upcoming e...


Q: I need help with 8, 9, and 10.

A: In the above question 8, it is said that there is a reduction in number of buyers along with improve...


Q: (Use for questions 1 - 3): Two soap producers, the Fortnum Company and the Maison Company, The payof...

A: The payoff matric is given below:


Q: 5. Calculating tax incidence Suppose that the U.S. government decides to charge beer producers a tax...

A: The amount of tax on a case is calculated as follows.