Is a firm economically inefficient if it can cut its costs by producing less? Why or why

Question:

Is a firm economically inefficient if it can cut its costs by producing less? Why or why not?

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For book-img-for-question

Microeconomics

ISBN: 978-0133019940

11th edition

Authors: Michael Parkin

See More Books

Question Posted: Dec 15, 2015 07:12 AM

See More Questions

In the long run, a monopolistically competitive firm earns zero economic profit, which is exactly what would occur if the industry were perfectly competitive. Assuming that the cost curves for each...
Firm B and firm S are in the process of negotiating a contract whereby S will synthesize a hormone for B. Besides the payment from B to S, three issues are involved: (1) Whether the hormone will be...
What is an economically efficient allocation? How does an economically efficient allocation differ from an inefficient allocation?
The given graph is a transformation of one of the six basic functions. Find an equation for the given graph. 10 'y -1 -2 -3 -5 -6 -7 -8 -9 -10 -15 -13 -9 -8 -7 -6 -5 4 3 -2 -1 0 1 2 3 45 -11
Do you think you smell? If you falsely believe you emit an unpleasant, foul, or offensive body odor, you may suffer from olfactory reference syndrome (ORS). The disorder disables patients, who often...
Find Vx in the network shown in Fig. 13.78. 2 2 /4
Suppose that revenue has the form where $h$ can be chosen and $x$ and $y$ are random variables. The distribution of $x$ and $y$ is symmetric about $(0,0)$; that is, $-x,-y$ has the same...
Customers checking out at Food Tiger arrive in a single-line queue served by two cashiers at a rate of eight per hour according to a Poisson distribution. Each cashier processes customers at a rate...
Module 4 addresses risk, specifically systematic risk.The current pandemic has dramatically increased overall and systematic risk in equity markets. What can or should be done, if anything, to calm...
Kitchen Kings Toledo plant manufactures three product lines, all multi-burner, ceramic cook tops. The plants three product models are the Regular (REG). the Advanced (ADV), and the Gourmet (GMT)....
Is a firm technologically efficient if it uses the latest technology? Why or why not?
Explain the key distinction between technological efficiency and economic efficiency.
The following table provides the crash data for the network project described in Problem 12: The normal activity times are considered to be deterministic and not probabilistic. Using the computer,...
At $24.0^{\circ} \mathrm{C}$, what is the average speed of atoms of helium gas? The mass of each atom is $6.646 \times 10^{-27} \mathrm{~kg}$.
A high-energy proton is ejected from the sun at 0.300c; it is gaining on a proton ejected at 0.250c. According to the slower proton, with what speed is the faster proton gaining on it?
Electrons in an x-ray tube are accelerated to 0.65c. The beam then travels 1.0 cm to a target. What is this distance in the frame of the electrons?
You leave on a mission to a distant star. Your craft accelerates at 0.95g for 30 days. From your point of view, you spend the next 1000 days moving at this speed. From the point of view of an earth...
Two children, one at the front of a parade float and one at the back, are playing catch with a ball. Each sees the other as tossing the ball at 4.0 m/s. The float moves down the road at 2.0 m/s. At...
Show that (e x 1 ) x 2 = e x 1 x 2 = (e x 2 ) x 1 for any numbers x 1 and x 2 .
Flicker, Inc., a closely held corporation, acquired a passive activity this year. Gross income from operations of the activity was $160,000. Operating expenses, not including depreciation, were...
Think about each of the items in the list and explain how they affect incentives and might change the choices that people make: A hurricane hits Central Florida. The World Series begins tonight but a...
What are the more than $34 billion of benefits from using less coal to produce electricity? Who receives these benefits: the users of electricity or the owners of power plants, or both the users and...
What are the $8.4 billion of costs arising from using less coal to produce electricity? Who bears these costs: the users of electricity or the owners of power plants, or both the users and the...
Evaluate the following interchange between an HIM Director and prospective employee. Critique the questions asked by the HIM Director and identify any that are inappropriate to ask during the...
What is the impact of behavioral Financial biases and demographic factors with financial risk tolerance with the moderating role of personality traits in a Pakistan stock market?
Wells Fargo. What information can you find on the brand's reputation? Please be specific about what you have found. After researching the reputation - what steps have they taken in recent years to...

Is a firm economically inefficient if it can cut its costs by producing less? Why or why

Question:

Step by Step Answer:

Economic efficiency occurs when the firm produces a given lev...View the full answer

Microeconomics

Students also viewed these Economics questions