Which Is True for a Purely Competitive Firm in Short-Run

question 33

Multiple Choice

Which is true for a purely competitive firm in short-run equilibrium?

• A) The firm is making only normal profits.
• B) The firm's marginal cost is greater than its marginal revenue.
• C) The firm's marginal revenue is equal to its marginal cost.
• D) A decrease in output would lead to a rise in profits.

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Definitions:

Myelin Sheath

A fatty layer that encases the axons of many neurons, serving to speed up electrical impulses between nerve cells.

Axon

The long, slender projection of a nerve cell, or neuron, that conducts electrical impulses away from the neuron's cell body.

Neural Impulse

A signal transmitted along a nerve fiber, typically in response to a stimulus, leading to action or communication between different parts of the body.

Neurotransmitters

Chemical messengers that transmit signals across synapses from one neuron to another in the brain and nervous system.