In conditions of pure competition, in which the demand for a firm's product is infinitely elastic, the firm's average revenue curve will be
A. | U shaped |
B. | A horizontal straight line |
C. | A vertical straight line |
D. | A straight line at 45° to the horizontal axis |
Option: B Explanation : Click on Discuss to view users comments. |
The Revealed Preference Theory was formulated by
A. | Joan Robinson |
B. | Paul Samuelson |
C. | Lionel Robbins |
D. | Aired Marshall |
Option: B Explanation : Click on Discuss to view users comments. |
Which of the following statement is correct?
A. | When the slope of the demand curve is zero, demand is infinitely elastic and when the slope is infinite, elasticity is zero |
B. | When the slope of the demand curve is zero, elasticity is unity and also when the slope is infinite, elasticity is unity |
C. | When the slope of the demand curve is zero, elasticity is also zero and when the slope is infinite, elasticity is also infinite. |
D. | None of these |
Option: A Explanation : Click on Discuss to view users comments. |