If a producer is willing to receive at least $3 for a pen that she manufactures but she actually receives $8 for it. The producer surplus of the pen for that producer is
A. $2.
B. $5.
C. -$5.
D. $9.
Answer: B
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Silvio's Pizza is a small pizzeria. The firm's production function is shown in the table above
Suppose that Silvio's costs include only the cost of renting ovens, which is $100 per oven per week, the labor cost, $280 per worker per week, and the opportunity cost of Silvio's entrepreneurship, $1,000 per week. Suppose Silvio's uses Plant 2. If Silvio hires the 4th worker, the firm will experience ________ marginal returns. A) diminishing B) increasing C) constant D) zero
What is the difference between inflation and deflation?
A) Inflation is a sustained decrease in the price level whereas deflation is a sustained increase in the price level. B) Inflation is a sustained increase in the price level whereas deflation is a sustained decrease in the price level. C) Inflation is a measure of relative prices whereas deflation is a sustained increase in the price level. D) None of the above.
The American Federation of Labor
a. was an amalgamation of two labor organizations. b. had over 1 million members by 1905. c. sought to control job opportunities and conditions within each craft. d. allied with the National Civic Federation in attempt to create a more favorable public image. e. All of the above.
Many economists consider medical care a superior good. Which of the following statements is true regarding a superior good?
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