The total revenue received by sellers of a good is the same amount as the:
A. Total income earned by the buyers
B. Total amount spent on the good by the buyers
C. Price paid by the buyers for each unit of the good
D. Profits earned by the sellers of the good
B. Total amount spent on the good by the buyers
You might also like to view...
To a firm facing constant input prices, increasing marginal returns
a. means that each additional unit of output costs more to produce than the previous unit b. means that the marginal product of the variable input decreases as more of the input is used c. can occur due to specialization and division of labor d. usually occur at very high rates of output e. can never occur
An example of a good that is rival in consumption is:
A. a radio program. B. a copy of an economics textbook. C. an economics web page. D. a lighthouse.
Answer the following questions true (T) or false (F)
1. A monopoly is a firm that is the only seller of a good or service that does not have a close substitute. 2. Unlike a perfect competitor, a monopolist faces the market demand curve. 3. A natural monopoly is characterized by large fixed costs relative to variable costs.
Refer to the information provided in Table 23.4 below to answer the question(s) that follow.
Table 23.4
Refer to Table 23.4. Assuming society's MPC is constant, at an aggregate income level of $1,200, aggregate consumption would be
A. $2,000. B. $1,400. C. $1,100. D. $950.