A competitive firm demand curve is ?

Related Mcqs:

1. In the short run, the competitive firm’s supply curve is the portion of the marginal cost curve that lies above the average variable cost curve?

   A. Upward-sloping portion of the average total cost curve
   B. upward-sloping portion of the average variable cost curve
   C. portion of the marginal cost curve that lies above the average total cost curve.
   D. entire marginal cost curve.
   E. portion of the marginal-cost curve that lies above the average variable cost curve

2. Suppose that the demand curve for tin is highly inelastic. If the supply curve of tin decrease and increase cyclically along the demand curve for tin then in this market the size of the price fluctuation will be __________ the size of the quantity fluctuations?

   A. relatively greater then
   B. relatively less than
   C. the same as
   D. any of the above

3. For a competitive firm, its short run supply curve is ______ and its long run supply curve is _____?

   A. SMC, LMC
   B. SMC above SAVC, LMC above LAC
   C. SMC below SAVC, LMC above LAC
   D. SMC below SAVC, LMC bellow LAC

4. For a competitive profit-maximizing firm, the value-of-the-marginal-product curve for capital is the firm’s ?

   A. supply curve of capital
   B. demand curve for capital
   C. production function
   D. marginal cost curve

5. Suppose that the supply curve of tin is highly inelastic. If the demand curve of tin decrease and increase cyclically along the supply curve of tin, then in this market the size of the quantity fluctuation will bathe size of the price fluctuations ?

   A. relatively greater than
   B. relatively less than
   C. the same as
   D. Any of the above

6. In the long run, the competitive firm’s supply curve is the ?

   A. entire marginal cost curve
   B. upward-sloping portion of the average total cost curve
   C. portion of the marginal cost curve that lies above the average total cost curve
   D. upward-sloping portion of the average variable cost curve
   E. portion of the marginal cost curve that lies above the average variable cost curve.

7. If a competitive firm is producing a level of output where marginal revenue exceeds marginal cost the firm could increase profit if it ?

   A. decreased production
   B. maintained production at the current level
   C. temporarily shut down.
   D. increased production

8. A monopolistically competitive firm that is incurring a loss will produce as long as the price that the firm charges is sufficient to cover ?

   A. marginal costs
   B. fixed costs
   C. variable costs
   D. advertising costs

9. A firm in perfectly competitive industry is producing 50 units, its profit-maximising quantity. Industry price is £2 and total fixed costs and total variable cost are £25 and £40 respectively. The firm’s economic profit is ?

   A. £35
   B. £15
   C. £30
   D. £60

10. The short run marginal cost curve cuts the short run total cost curve and short run average variable cost curve ?

    A. At their lowest points
    B. When they are declining
    C. When they are increasing
    D. When marginal revenue is zero