If a Firm's Demand Curve Slopes Downward, the Firm's

question 196

Multiple Choice

If a firm's demand curve slopes downward, the firm's

• A)marginal revenue will rise as price is reduced
• B)marginal revenue will generally be less than price
• C)total revenue will decline continuously as price is reduced
• D)marginal revenue will always be greater than its demand
• E)average revenue will increase continuously as output increases

Understand the function of markets and the role of households and firms within them.

Comprehend the impact of government actions on economic outcomes and the concept of market failure.

Recognize the principles guiding individual decision-making in economics.

Understand the role of central planning and its historical context and implications.

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