MCQs of Economics – Costs , Supply And Perfect Competition

Firms in perfect competition face a:

In perfect competition:

A profit maximising firm is perfect competition produces where:

In perfect competition

In the long run in perfect competition:

In perfect competition

In perfect competition:

In the short run firms in perfect competition will still produce provided:

In the long run in perfect competition:

For a perfectly competitive firm:

Which of the following is not a characteristic of a competitive market?

Which of the following market would most closely satisfy the requirements for a competitive market?

If a competitive firm doubles its output its total revenue:

For a competitive firm, marginal revenue is:

The competitive firm maximize profit when it produces output up to the point where

If a competitive firm is producing a level of output where marginal revenue exceeds marginal cost the firm could increase profit if it

In the short run, the competitive firm’s supply curve is the portion of the marginal cost curve that lies above the average variable cost curve.

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

A grocery store should close at night if the

The long-run market supply curve:

In the long-run some firms will exit the market if the price of the good offered for sale is less than

If all firms in a market have identical cost structures and if inputs used in the production of the good in that market are readily available, then the long-run market supply curve for that good should be:

If an input necessary for production is in limited supply so that an expansion of the industry raises costs for all existing firms in the market, then the long-run market supply curve for a good could be

If the long-run market supply curve for a good is perfectly elastic, an increase in the demand for that good will, in the long run, cause

in long-run equilibrium in a competitive market, firms are operating at

In monopolistic competition:

In monopolistic competition:

In monopolistic competition firms profit maximize where:

Which of the following is not one of the four Ps in marketing?

Effective branding will tend to make:

In monopolistic competition of firms are making abnormal profit other firms will enter and:

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

If a firm takes over a competitor then, according to porter’s 5 forces model:

In marketing “USP” stands for:

In monopolistic competition:

A production is technique is technically efficient if

A period of time long enough for the firms to adjust all production inputs is described as the long run

Decrease returns to scale means that _____ as ______

If a long run average cost curve is falling form left to right this is an example of:

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

When average cost is falling marginal cost is _____ and when average cost is rising marginal cost is:

The firms long run output decision will be where

Short run average total costs are equals to the sum of ____ and _____

The short run marginal cost curve cuts the short run total cost curve and short run average variable cost curve:

Given a long run average cost curve, every point represents a tangency with the lowest point of a short run average cost curve for a fixed plant size

Holding all factors constant except one and increasing a variable factor is expected to lead to steadily decreased marginal product of that factor, This is an example of

In the short run a firm will produce zero output if:

In a competitive industry each buyer and seller:

For a competitive firm, its short run supply curve is ______ and its long run supply curve is _____

For perfect competition to work there must be

If there are short run excess profits in a competitive industry in the long run they will disappear because of new entrants

A competitive firms demand curve is

A competitive firm produces a level of output at which: