We know that a perfectly competitive firm is a price taker because O A) MC and ATC are equal at the profit-maximizing amount of output. B) its MC curve slopes upward. C) its demand curve is horizontal. D) it has no supply curve. E) its ATC curve is U-shaped.

Microeconomics
13th Edition
ISBN:9781337617406
Author:Roger A. Arnold
Publisher:Roger A. Arnold
Chapter9: Perfect Competition
Section: Chapter Questions
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We know that a perfectly competitive firm is a price taker because
A) MC and ATC are equal at the profit-maximizing amount of output.
B) its MC curve slopes upward.
C) its demand curve is horizontal.
D) it has no supply curve.
E) its ATC curve is U-shaped.
Transcribed Image Text:We know that a perfectly competitive firm is a price taker because A) MC and ATC are equal at the profit-maximizing amount of output. B) its MC curve slopes upward. C) its demand curve is horizontal. D) it has no supply curve. E) its ATC curve is U-shaped.
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