A competitive firm demand curve is ?

A. Horizontal
B. Vertical
C. Downward sloping
D. Elastic

A competitive firm produces a level of output at which ?

A. Price is greater than marginal cost
B. Price equals marginal cost
C. Price is less than marginal cost
D. None of the above

A production is technique is technically efficient if ?

A. Output is maximized
B. Inputs are minimized
C. There is no way to make a given output using less of one input and no more of the other inputs
D. Costs are minimized

Decrease returns to scale means that _____ as ______?

A. Short run marginal cost rises, output rises
B. Long run marginal cost rises, output rises
C. Short run average cost rises, output rises
D. Long run average cost rises, output rises

If a firm is not operating at the output necessary to achieve all scale economies, it has not achieved its ?

A. Efficient scale
B. Average efficient scale
C. Maximum efficient scale
D. Minimum efficient scale

In marketing “USP” stands for ?

A. Unique selling proposition
B. Underlying sales proposition
C. Unit sales point
D. Under sales procedure

Effective branding will tend to make ?

A. Demand more price inelastic
B. Supply more price inelastic
C. Demand more income elastic
D. Supply more income elastic

In Porter’s five force model conditions are more favorable for firms within an industry if ?

A. Buyer power is high
B. Supplier power is high
C. Entry threat is low
D. Substitute threat is high

In monopolistic competition firms profit maximize where ?

A. Marginal revenue = average revenue
B. Marginal revenue = marginal cost
C. Marginal revenue = average cost
D. Marginal revenue = total cost

In the long run, the competitive firm’s supply curve is the ?

A. Entire marginal cost curve
B. Upward-sloping portion of the average total cost curve
C. Portion of the marginal cost curve that lies above the average total cost curve
D. Upward-sloping portion of the average variable cost curve