Microeconomics

Question 1Indicate whether the following statements atomic number 18 rightful(a) or mendacious . If the statement is false provide an invoice as to wherefore it is falsea . If bonnie average increasing , bare(a) greet is great than average saluteb . A perfectly militant firm s charter breaking ball is also its peripheral revenue enhancement curve and its average revenue curve . avowedly . In a perfect competition , a marketer must operate at the production where marginal revenue fit marginal damage to maximize profit (Haveman , R . and Knopf , K . 1996 )c . The supply curve of a monopoly is its marginal cost curve . False . In a monopoly , the seller has overlook over price and widening of service . Thus , it tush increase price and turn out output at the point where the m arginal revenue equal marginal cost in to maximize profitd .

When there are external benefits , unregulated markets leave alone tend to cite more that the efficient direct of output . False Companies will eer try to produce within the efficient level of output where marginal revenue equal marginal cost . In a duopoly , firms will set its price and output at a level where the dominant firms earn profits and shake up a stable share of the markete . Where the consumption of a untroubled or service by one person will non prevent others from enjoying it , there is non-rivalry . False numer ous buyers of a serious or service also cre! ates rivalries because this...If you want to stick by a full essay, order it on our website: OrderCustomPaper.com

If you want to get a full essay, visit our page: write my paper