In Perfect Competition, a Firm That Maximizes Its Economic Profit

question 26

Multiple Choice

In perfect competition, a firm that maximizes its economic profit will sell its good at a price that is

• A) below the market price.
• B) at the market price.
• C) above the market price.
• D) below the market price if its supply curve is inelastic and above the market price if its supply curve is elastic.

---

Definitions:

Bhutan

A small country in South Asia known for measuring Gross National Happiness as an indicator of its development, rather than solely relying on Gross Domestic Product (GDP).

Chain Stores

Retail outlets that share a brand and central management, usually offering similar goods or services across multiple locations.

Social Movements

Collective, organized efforts aiming to promote or resist change in society regarding specific issues.

Dominant Culture

The values, norms, and practices of the group within society that is most powerful (in terms of wealth, prestige, status, influence, etc.).