Assumptions And Characteristics Of Perfectly Competitive Market - Economics Jamb Past Questions and Answers

Question 11 :

• JAMB 1983

In perfect competition a firm's price is equal to its marginal revenue which is again equal to average revenue. This form maximizes its profits when its marginal cost (MC) is equal to price (p). Which of the curves in the diagram below represents the firm's marginal cost (MC)?

A. Curve I
B. Curve ll
C. Curve lll
D. Curve lV
E. Curves l and lll

Question 12 :

• JAMB 1985

Under perfect competition, the long-run equilibrium requires?

A. MR = MC
B. MR = AC = AR
C. MR > MC
D. MR = MC = AR = AC
E. AR = AC

Question 13 :

• JAMB 1987

Which of the following is compatible with a firm in a purely competitive market?

A. Demand is inelastic
B. Demand is infinitely inelastic
C. Marginal Cost is falling
D. Price is greater than Marginal Cost

Question 14 :

• JAMB 1991

The firm portrayed is selling in

A. A purely competitive market
B. A market in which demand elastic at all prices
C. An imperfectly competitive markket
D. A market in which companies produce homogeneous commodities

Question 15 :

• JAMB 1998

The producer in a perfectly competitive market is faced with a demand curve whose elasticity is?

A. Unitary
B. Greater than one
C. Infinite
D. Less than one