A Competitive Firm Is Currently Producing a Quantity of Output

question 569

Multiple Choice

A competitive firm is currently producing a quantity of output at which marginal revenue exceeds marginal cost. In order to increase its profit, the firm should

• A)increase the price of the good that it produces and sells.
• B)increase its quantity of output.
• C)decrease its total cost.
• D)decrease its average total cost.

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Definitions:

Self-Regulation

the process of managing one's thoughts, emotions, and behaviors to achieve long-term goals or adhere to social and personal standards.

Peer Influence

The effect that the attitudes, values, and behaviors of peers have on an individual’s own attitudes and behaviors.

Adolescent Behavior

Patterns of action or conduct typically observed in teenagers, often marked by searching for identity, increased independence, and social interactions.

Prosocial

Behaviors that are intended to help or benefit others.