economy

posted by .

consider a perfectly competitive market in which all firms have the same costs. choose the statement that is incorrect
a)the market demand is elastic at the market price
b)each firm takes the market price as given and produces its profit -maximizing output
c)the market supply curve is upward sloping at prices above the firms shut down price
d)market demand and market supply determine the market price and market output.

  • economy -

    I wish somebody who knew answered, im guessing d

Respond to this Question

First Name
School Subject
Your Answer

Similar Questions

  1. economics

    suppose a competitive market consists of identical firms with a constant long run marginal cost of $10. Suppose the demand curve is given by q=1000-p a)What are the price and quantity consumed in the long run competitive equilibrium?
  2. Micreoeconomics

    1. Assume a perfectly competitive constant cost industry, currently in long-run equilibrium. Market demand in the industry is given by Q = 1500 - 25P. The short-run market supply curve is given by: Q = 15P - 100 for P B 10 = 0 for …
  3. Economics

    Assume the demand for beef is given by Qd = 22 + 0.1 Y – 10Pb + 5 Pc And the supply of beef is given by: Qs = -400 + 500Pb – 200 Pf where Qd denotes quantity of beef demanded, Qs denotes quantity supplied, Pb denotes price, of …
  4. Microeconomics [Urgent!]

    I have an exam tomorrow and I really need to know how you get the following answers. Please show me! I know it's a lot of questions, but I don't understand how you get the answer... ------------------ 40. At Nick's Bakery, the cost …
  5. Economics/Math

    Suppose there are four firms in a competitive market and that each firm has the following supply function. Supply functions for competitive firms Company Supply Function 1 Q1 = 16 + 4P 2 Q2 = -5 + 5P 3 Q3 = 32 + 8P 4 Q4 = - 60 +10P …
  6. economics

    5. A market contains a group of identical price-taking firms. Each firm has a marginal cost curve MC(Q) = 2Q, where Q is the annual output of each firm. A study reveals that each firm will produce if the price exceeds $20 per unit …
  7. Economics

    How does the market price of a good in a monopoly market compare with the market price of the same good in a perfectly competitive market?
  8. Economics

    There are 10 identical consumers whose demand is D: p = 20 - 10q. There are 10 identical firms, each firm's marginal cost is MC(q)= 5 + 5q. The market is competitive. a) derive the market demand function b) derive the market supply …
  9. Economics

    What is an oligopoly? A. An agreement by a formal organization of producers to coordinate prices and production B A market structure in which a few large firms dominate the market C A market structure in which two firms have a price
  10. Economics

    Two firms produce the same good and compete against each other in a Cournot market. The market demand for their product is P = 204 - 4Q, and each firm has a constant marginal cost of $12 per unit. MR1 = 204 - 8q1 - 4q2. Let q1 be the …

More Similar Questions