multiple choice firms in perfect competitions will leave the industry if they: 1- suffer short-run losses 2- suffer losses, even if they are covering variable costs in the short run 3- suffer long-run losses 4-earn a normal profit  5- earn a zero economic profit

Which of these would be associated with perfect competition in a market? Question 7 options: a) a market in which firms sell their product at the market equilibrium price b) a market in which firms are impacted significantly by the actions of the other firms c) a market with many sellers, with each producing a similar though not identical version of a product d) a market with high costs of entry into the industry The long-run industry supply curve is elastic in the long run. Question 14 options: a) flatter; more b) c) d) steeper; more flatter; less steeper; less A price taker is a firm that: Question 17 options: a) b) c) has no control over the market price. has the ability to control the price it charges. takes the maximum price that each and every consumer is willing to pay. d) takes bribes. than the short-run industry supply curves because supply is For a perfectly competitive firm, total revenue is equal to: Question 20 options: a) b) d) marginal revenue x quantity. marginal cost x…

In perfect competition, the maximum benefit is achieved where the vertical difference between total revenue and total cost is smallest. True or false

Each firm in perfect competition: Multiple Choice follows the pricing decisions of other firms. sets quantity based on market price. follows the output of other firms. follows the reactions of competitors.