Name: 

The only requirement for a market to be perfectly competitive is for the market to have many buyers and sellers.

For a competitive firm, marginal revenue equals the price of the good it sells.

If a competitive firm sells three times the amount of output, its total revenue also increases by a factor of three.

A firm maximizes profit when it produces output up to the point where marginal cost equals marginal revenue.

If marginal cost exceeds marginal revenue at a firm's current level of output, the firm can increase profit if it increases its level of output.

A competitive firm's short-run supply curve is the portion of its marginal cost curve that lies above its average total cost curve.

A competitive firm's long-run supply curve is the portion of its marginal cost curve that lies above its average variable cost curve.

In the short run, if the price a firm receives for a good is above its average variable costs but below its average total costs of production, the firm will temporarily shut down.

In a competitive market, both buyers and sellers are price takers.

In the long run, if the price firms receive for their output is below their average total costs of production, some firms will exit the market.

In the short run, the market supply curve for a good is the sum of the quantities supplied by each firm at each price.

The short-run market supply curve is more elastic than the long-run market supply curve.

In the long run, perfectly competitive firms earn small but positive economic profits.

In the long run, if firms are identical and there is free entry and exit in the market, all firms in the market operate at their efficient scale.

If the price of a good rises above the minimum average total cost of production, positive economic profits will cause new firms to enter the market, which drives the price back down to the minimum average total cost of production.

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

Which of the following markets 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 maximizes 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 profits if it

In the short run, the competitive firm's supply curve is the

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