Under Perfect Competition, Which of the Following Are Equal at All

question 51

Multiple Choice

Under perfect competition, which of the following are equal at all levels of output?

• A) price and marginal cost
• B) price and marginal revenue
• C) marginal cost and marginal revenue
• D) marginal cost and short-run average total cost

---

Definitions:

Average Variable Costs

The total variable costs (costs that change with production volume) divided by the total output.

Repairs

The process of fixing or restoring something that is broken or damaged to bring it back to a good condition.

Hydraulic Car Smasher

A machine used in scrapyards to crush cars into small, compact pieces using hydraulic power.

Dispose of Cars

The process of discarding or recycling vehicles that are no longer functional or needed.