Econ I Quiz 1

What is the per unit profit for a perfectly competitive firm?

What is 'competition' in economics?

What is the elasticity of the residual demand curve compared to market demand curve?

If only one firm faces a specific tax in perfect competition, what is the effect on price?

What is the short-run supply curve of a competitive firm?

What is the necessary condition for profit maximization in perfect competition?

Let a firm's FC=$20k and VC=$10k. If revenue R=$19k, what is the profit-maximizing output?

In the short run when a firm will shut down?

What does a competitive firm choose in order to maximize profit?

What is/are the condition(s) of firm's price taking behaviour?