When Firms Are Neither Entering nor Exiting a Perfectly Competitive

question 429

Multiple Choice

When firms are neither entering nor exiting a perfectly competitive market,

• A)total revenue must equal total variable cost for each firm.
• B)economic profits must be zero.
• C)price must equal average variable cost for each firm.
• D)Both a and c are correct.

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Definitions:

Emotional Markers

Psychological indicators that relate to an individual's emotional state or changes, often influencing decision-making and behavior.

Four-drive Theory

A motivational theory suggesting that human beings have four basic drives: the drive to acquire, the drive to bond, the drive to learn, and the drive to defend.

Emphasis

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Information

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