Determine the Statement Is True or False

question 48

Multiple Choice

Determine the statement is true or false.If it is true explain why it is true.If it is false, give an example to show why it is true. If satisfies at a critical point of , then cannot have a relative extremum at .

• A)Flase, can have a relative extremum at .
• B)True, can not have a relative extremum at .

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Definitions:

Maximum Earning

The highest amount of revenue that a business can generate from its operations, often limited by market size or production capacity.

Competitive Price-Searcher

A market condition where firms actively seek to set prices competitively, often through the differentiation of products or services, to gain advantage over rivals.

Market Equilibrium

A condition or state where the quantity demanded of a good or service at a certain price equals the quantity supplied, leading to a stable market condition.

Collusion

An agreement, usually secretive, between firms to fix prices, limit supply, or inhibit competition.