The ________ for a Perfectly Competitive Industry Is the Horizontal

question 340

Multiple Choice

The ________ for a perfectly competitive industry is the horizontal sum of the individual firmsʹ marginal cost curves above AVC.

• A) short-run industry supply curve
• B) long-run industry supply curve
• C) short-run industry marginal revenue curve
• D) long-run industry marginal revenue curve

Understand the concept of price elasticity of demand and how it is determined.

Analyze the effects of price changes on total revenue depending on the elasticity of demand.

Grasp why demand elasticity can vary with the slope of the demand curve.

Understand why demand is more elastic in the long run compared to the short run.