In the short run if the price is above the average total cost in a monopolistic competitive market, the firm makes (a) Profits and new firms join the market ; (b) Profit and bar entry to new firms; (c) Makes losses and exit the market ; (d) Quick profit and disappears Answer : (a) Profits and new firms join the market ;...
For a monopoly firm market demand curve is (a) Marginal revenue curve itself ; (b) Average Revenue curve itself ; (c) Marginal cost curve (d) None Answer : (b) Average Revenue curve itself ;...
In a pure monopoly firm a firm can make abnormal profit at the long run equilibrium level due to (a) Price discrimination;(b)Cost effectiveness ; (c) Banned entry of new firms ; (d) Sales promotion Answer : (c) Banned entry of new firms ;...
The long run average cost curve envelops (a) all short run average cost curves (b) all short run average variable cost curves © all short run marginal cost curves (d) none of the above.
In the long run price is governed by …………. (a) Cost of Production ; (b) Demand supply forces ; (c) Marginal utility ; (d) None Answer : (a) Cost of Production ;...
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