-The Feature of the Above Figure That Indicates That the Firm

question 173

Multiple Choice

-The feature of the above figure that indicates that the firm is a perfectly competitive firm is the

• A) shape of the total cost curve.
• B) shape of the total revenue curve.
• C) fact that the total cost and total revenue curves are farthest apart at output is Q₂.
• D) fact that the total cost and total revenue curves cross twice.

---

Definitions:

Trade Deficit

A state where the amount of goods and services brought into a country is higher than the amount sent out, leading to an adverse balance of trade.

Balance Of Trade

The difference in value between a country's exports and imports over a specific period, indicating the net earnings from international trade.

Goods

Physical items that are produced for sale and consumption to satisfy human wants, such as food, clothing, and cars.

Services

Intangible products such as healthcare, education, and banking, that provide value or meet needs without producing physical goods.