When Economists Say That a Perfectly Competitive Firm Is a "Quantity

question 41

Multiple Choice

When economists say that a perfectly competitive firm is a "quantity adjuster", they mean that

• A) it can vary its output by an infinite amount.
• B) changing the output level does not affect the costs of production.
• C) its marginal- cost curve coincides with its own demand curve.
• D) it is a price taker.
• E) it is not concerned with cost factors.

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Definitions:

Judgment N.o.v.

Short for "judgment non obstante veredicto," a legal motion requesting the court to reverse the jury's verdict on the grounds that the jury could not have legally provided such verdict based on the facts.

Matter of Law

An issue that is determined by statutes, legal precedent, or constitution, rather than by the factual situation of a case.

Appellate Court

a court that has the authority to review and make changes to the decisions of lower courts.

Affirmed

In legal context, it means that a higher court has confirmed or upheld the decision of a lower court.