In Perfect Competition

question 212

Multiple Choice

In perfect competition:

• A)price and average variable cost are the same.
• B)price and marginal revenue are the same.
• C)price and total revenue are the same.
• D)total revenue and total variable cost are the same.

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Definitions:

No Privity

A legal doctrine indicating that a contract cannot confer rights or impose obligations upon any person who is not a party to the contract.

Assumption of Risk

A legal principle where a person knowingly and voluntarily assumes the risk of an activity, potentially limiting their right to claim damages.

Disclaimer

A statement that denies responsibility to enforceable legal claims and thereby protects the party making the statement from liability.

Crashworthiness Doctrine

A legal principle that holds vehicle manufacturers liable for injuries from accidents if the vehicle's design fails to ensure adequate protection for occupants.