Based on the table for total, marginal, and average revenue, at what output quantity is total revenue maximized?
a. 1
b. 2
c. 3
d. 4
c. 3
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Any profit earned by a corporation
A) does not get taxed. B) gets taxed once. C) gets taxed twice. D) gets taxed five times.
Information costs
A) are the costs of buying and selling financial claims. B) include the costs that savers incur to determine the credit worthiness of borrowers. C) include the costs borrowers incur to discover the best investments to make with the money they have borrowed. D) are zero in financial markets, but high for transactions carried out through financial intermediaries.
Because labor unions contribute to keeping real wages ________ their equilibrium levels, higher unionization rates will tend to contribute to ________ unemployment rates
A) above; higher B) above; lower C) below; higher D) below; lower
The marginal cost is an important piece of information for firms and economists to know because it
a. determines the size of the plant you should build b. is the only cost that increases as production increases c. helps determine precisely which production level maximizes profit d. incorporates fixed costs into the production decision e. is a measure of labor productivity