A Perfectly Competitive Firm's Output Price Is $5 and the Firm

question 9

Multiple Choice

A perfectly competitive firm's output price is $5 and the firm is producing 37 units with a marginal cost of $3.The firm should:

• A)lower its price.
• B)decrease production.
• C)increase production.
• D)raise its price.

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Definitions:

Acetylcholine

A neurotransmitter in the nervous system that plays an important role in muscle contraction and cognitive functions.

Agonist

is a substance that binds to a receptor and triggers a response in the body, often mimicking the action of a naturally occurring substance.

Excitatory Neurotransmitter

Chemical substances in the nervous system that increase the likelihood of firing the neuron to which they bind, promoting neural activity.

Limbic System

A complex set of brain structures located on both sides of the thalamus, immediately beneath the cerebrum, involved in various functions including emotions, behavior, and long-term memory.