Study guides, Class notes & Summaries

1. Purely competitive firms increase total revenue by A. increasing production B. decreasing production C. increasing price D. decreasing price 2. What are two ways for a competitive firm to determine the optimal level of production, that is, the level of production that will maximize profit or minimize losses? A. Comparing total revenue to total cost or marginal revenue to marginal costs B. Comparing average revenue to average costs or marginal revenue to marginal costs C. Comparing average var...