| 41 |
The conditions for a producer's equilibrium under the MR–MC approach are: |
Economics/Business Economics
Producer’s equilibrium |
Easy |
| 42 |
At its current output a firm finds that MR is greater than MC. To raise profit it should: |
Economics/Business Economics
Producer’s equilibrium |
Easy |
| 43 |
A price-taking firm sells at ₹10. MC of units 1 to 5 is ₹10, ₹7, ₹6, ₹10 and ₹14. What is its equilibrium out… |
Economics/Business Economics
Producer’s equilibrium |
Medium |
| 44 |
Why is MR = MC alone not enough for producer's equilibrium? |
Economics/Business Economics
Producer’s equilibrium |
Medium |
| 45 |
Price is ₹10 per unit. TC at outputs 0 to 4 is ₹10, ₹16, ₹20, ₹25 and ₹37. Find the profit-maximising output … |
Economics/Business Economics
Producer’s equilibrium |
Hard |
| 46 |
A firm in perfect competition is called a price taker because: |
Economics/Business Economics
Features of perfect competition |
Easy |
| 47 |
The demand curve facing an individual firm under perfect competition is: |
Economics/Business Economics
Features of perfect competition |
Easy |
| 48 |
Which feature of perfect competition ensures that firms earn only normal profit in the long run? |
Economics/Business Economics
Features of perfect competition |
Medium |
| 49 |
Why can a firm under perfect competition not sell at a price above the market price? |
Economics/Business Economics
Features of perfect competition |
Medium |
| 50 |
A firm in a supposedly perfectly competitive market starts advertising its brand of rice as superior to other… |
Economics/Business Economics
Features of perfect competition |
Hard |
| 51 |
In the short run, a competitive firm's shutdown point occurs where price equals: |
Economics/Business Economics
Profit maximisation |
Easy |
| 52 |
The break-even point of a competitive firm is where price equals: |
Economics/Business Economics
Profit maximisation |
Easy |
| 53 |
A competitive firm sells 100 units at ₹12 each, and its average cost at this output is ₹10. What is its super… |
Economics/Business Economics
Profit maximisation |
Medium |
| 54 |
In the short run, market price is ₹8, minimum AVC is ₹6 and minimum AC is ₹10. The firm should: |
Economics/Business Economics
Profit maximisation |
Medium |
| 55 |
At P = ₹20 a competitive firm's best output (P = MC) is 50 units, where AC = ₹24 and AVC = ₹18. What should i… |
Economics/Business Economics
Profit maximisation |
Hard |
| 56 |
An improvement in production technology will: |
Economics/Business Economics
Supply |
Easy |
| 57 |
The government imposes a unit tax on a good. Its supply curve will: |
Economics/Business Economics
Supply |
Easy |
| 58 |
When price rises from ₹10 to ₹12, quantity supplied rises from 100 to 130 units. What is the price elasticity… |
Economics/Business Economics
Supply |
Medium |
| 59 |
A straight-line supply curve passing through the origin has price elasticity of supply equal to: |
Economics/Business Economics
Supply |
Medium |
| 60 |
Firm 1 supplies q = p − 5 for p ≥ 5 (zero otherwise) and firm 2 supplies q = p − 10 for p ≥ 10 (zero otherwis… |
Economics/Business Economics
Supply |
Hard |