Refer to the graph shown. Assuming that the industry continues to operate under conditions of perfect competition and that the cost curves do not shift, in the long run this firm will produce:
A. 800 units of output.
B. 1,400 units of output.
C. 1,200 units of output.
D. 1,000 units of output.
Answer: A
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Some of the newer pollutants that have appeared
a. are far more visible to the eye than older pollution. b. cause damage that is easily reversible. c. pose no significant long-term hazards. d. are far more dangerous than older forms of pollution.
The Framing Gallery frames posters. The Framing Gallery has total fixed costs of $500. The Framing Gallery's average variable cost is $20 and its average total cost is $25. The Framing Gallery is currently framing
A. 5 posters. B. 25 posters. C. 100 posters. D. a number of posters that is indeterminate from this information.
Refer to the graphs below. In Graph A, a decrease in the price level from P1 to P3 will lead to:
In the graphs below, QP refers to the economy's potential output level.
A. A decrease in profits, an increase in real output, and a decrease in the unemployment rate
B. A decrease in profits, a decrease in real output, and a decrease in the unemployment rate
C. A decrease in profits, a decrease in real output, and an increase in the unemployment rate
D. An increase in profits, an increase in real output, and a decrease in the unemployment rate
Refer to the scenario above. Suppose Edwin consumes the total output produced. What is likely to happen in this case?
A) GDP will remain unchanged. B) GDP will decrease. C) Trade surplus will increase by $200. D) GDP will increase.