If the unit cost of output for a computer is $2,000 and if firms' average markup is 10 percent, what is the total cost to the consumer?
a. $2,000
b. $2,010
c. $2,020
d. $2,200
e. $20
D
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Recent evidence supports the belief that new information is incorporated into the value of most stocks within
a. one trading day. b. one week. c. one month. d. about 30 seconds.
Starting from long-run equilibrium, a large decrease in government purchases will result in a(n) ________ gap in the short-run and ________ inflation and ________ output in the long-run.
A. expansionary; lower; potential B. expansionary; higher; potential C. recessionary; lower; potential D. recessionary; lower; lower
Who faces trade-offs?
A) individuals B) households C) governments D) all of the above
Each firm in an oligopoly market knows that any change in its product quality, price, output, or advertising policy may prompt a reaction from its rivals. Each firm also may react if another firm alters any of these features
Indicate whether the statement is true or false