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JAMB Economics 2009 Objective — Question 22

Question 22 of 50 from the Joint Admissions and Matriculation Board (JAMB) Economics 2009 Objective paper, with the correct answer and a full explanation.

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The supply curve of a perfectly competitive firm is identical to its

  • A. total cost
  • B. marginal costCorrect
  • C. fixed cost
  • D. variable cost

Explanation

In a perfectly competitive firm, the marginal cost curve of the firm is also the supply curve. This is because the condition for equilibrium is MC=MR and MR=AR=P.

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