객관식
Which of the following is NOT typically considered part of the business market in a competitive market?
110
views
3. The Market Forces of Supply and Demand
Competitive Markets
객관식
Which of the following expressions is correct for a competitive firm?
A
MR < MC
B
TR = TC at profit maximization
C
P = MC
D
P < MR
검증된 단계별 안내1
Step 1: Understand the context of a competitive firm. In perfect competition, firms are price takers, meaning the price (P) is given and constant for each unit sold.
Step 2: Recall the profit maximization condition for a competitive firm. The firm maximizes profit where marginal revenue (MR) equals marginal cost (MC). Since the firm is a price taker, MR equals the market price (P), so the condition is $P = MR = MC$.
Step 3: Analyze each expression given:
- $MR < MC$ implies the firm is producing too much and should reduce output.
- $TR = TC$ means the firm is breaking even, but this is not the condition for profit maximization.
- $P = MC$ is the correct profit-maximizing condition for a competitive firm.
- $P < MR$ cannot be true in perfect competition because $P = MR$.
Step 4: Conclude that the correct expression representing the profit-maximizing condition for a competitive firm is $P = MC$.
Step 5: Remember that this condition ensures the firm is producing the quantity where the cost of producing one more unit equals the revenue gained from selling it, maximizing profit.
관련 영상
관련 실천
