A decrease in costs may not increase economic profit
Indicate whether the statement is true or false
True
You might also like to view...
Xenonia has a larger supply of labor than Techland. If the labor supply in both the countries increases by the same amount while their capital stocks remain unchanged, ________
A) the increase in Techland's output will be more than the increase in Xenonia's output B) the increase in Xenonia's output will be more than the increase in Techland's output C) Xenonia's income per capita will decrease while Techland's income per capita will increase D) Xenonia's income per capita will increase while Techland's income per capita will decrease
How does the multiplier for a change in government spending compare to the multiplier for a change in taxes?
A. It is smaller. B. It is the same. C. It is larger. D. It cannot be calculated.
When economies of scale are present, but are not sufficiently large to generate a natural monopoly, the expected market structure is:
A. monopoly. B. monopolistic competition. C. perfect competition. D. oligopoly.
What will happen when there is a rightward shift in the demand curve?
A) The product price will instantaneously adjust downward. B) Product prices do not change in this situation. C) Producers will decrease the product price. D) A new, higher price is not instantaneously achieved, but the price will rise over time.