Home » ____ 36. What is the maximum economic profit this firm depicted in Figure 10-3 will be able to earn?

____ 36. What is the maximum economic profit this firm depicted in Figure 10-3 will be able to earn?

____ 36. What is the maximum economic profit this firm depicted in Figure 10-3 will be able to earn? A. zero b. $200 c. $400 d. $600 ____ 37. Some economists have argued that competitive price-searcher industries are allocatively inefficient relative to price-taker industries because a. unlike price takers, price searchers fail to produce at the point where marginal revenue is equal to marginal cost. B. competition forces price takers to find the most efficient method of production, while product differentiation allows competitive price searchers to stay in business even when their methods of production are inefficient. C. unlike price takers, price searchers do not produce at the minimum of their average total cost curves. D. price searchers need to pay higher salaries to their managers because of the greater amount of entrepreneurship required in price-searcher industries.

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