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# Question: what is the consequence of a firm in a competitive...

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What is the consequence of a firm in a competitive market selling a homogenous product?

 The firms capture some market power.
 The product sold by one firm is a perfect substitute for the products sold by other firms in the same industry.
 All the firms in the industry are the same size.
 The product sold by one firm is a perfect complement for the products sold by other firms in the industry.
 Firms in the industry can produce the same product with a different quantity of inputs.

The accompanying table represents the quantity produced, the total revenue, and the total cost of a firm operating in a perfectly competitive market. Refer to this table to answer the following questions.

 Quantity Total Revenue Total Cost 0 $0$3 1 $5$5 2 $10$9 3 $15$13 4 $20$19

Profits are maximized when producing _______ unit(s).

 4
 2
 3
 1
 0 (zero)

If firms in a competitive market are making positive economic profits, the long-run market supply curve

 shifts upward.
 is above the point where the short-run market supply curve and the demand curve intersect.
 and the short-run market supply curve and the demand curve all intersect at the same point.
 shifts downward.
 is below the point where the short-run market supply curve and the demand curve intersect.