In the longrun in perfect competition
The price equals the total revenue
Firms are allocatively inefficient
Firms are productively efficient
The price equals total cost
The _____ of a firm shows the level of output that the firm chooses to produce corresponding to different value of the market price.
Demand curve
Supply curve
Aggregate demand curve
Aggregate supply
Which best describes price discrimination?
Charging different prices for different products
Charging the same prices for different products
Charging the same prices for the same products
Charging different prices for the same products
In oligopoly
The largest four firms are likely to have a small market share
The price is likely to equal marginal revenue.
Firms will continue to produce in the long run if price is less than average cost
Firms may collude or compete depending on their assumption about their competitors
In perfect competition
The price equals the marginal revenue.
The price equals the average variable costs
The fixed cost equals the variable costs
The price equals the total costs
If a few firms dominate an industry the market is known as
Monopolistic competition
Competitively monopolistic
Duopoly
Oligopoly
In monopolistic competition firms profit maximize when
Marginal revenue = Average revenue
Marginal revenue = Marginal cost
Marginal revenue = Average cost
Marginal revenue = Total cost
The demand curve of monopoly is
Inelastic
Elastic
Perfectly elastic
Perfectly inelastic
In monopolistic competition
Firms face a perfectly elastic demand curve
All products are homogeneous
Firms make normal profits in the long run
These are barriers to entry to prevent entry
There are few sellers
There are few buyers
There is one sells
There are many seller
