What Is the Relationship Among the Following Variables in for a Perfectly

question 176

Multiple Choice

What is the relationship among the following variables in for a perfectly competitive firm: the market price, average revenue and marginal revenue?

• A) Average revenue is equal to the market price; average revenue is greater than marginal revenue.
• B) The market price is equal to both average revenue and marginal revenue.
• C) Average revenue is equal to marginal revenue; average revenue is greater than the market price.
• D) As a firm lowers the market price to sell more output, marginal revenue and average revenue will be less than the market price.

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Definitions:

Disenchantment

A feeling of disillusionment or dissatisfaction, often resulting from unmet expectations or the realization that reality does not match ideals.

Adaptive Response

A reaction to a change in the environment that enables an organism or system to better survive or operate.

Physical Demand Stressor

A factor in the workplace that causes stress due to physical efforts or demands required by a job.

Temperature

A physical quantity expressing how hot or cold an environment is, typically measured in degrees Celsius (°C), Fahrenheit (°F), or Kelvin (K).