If a firm is producing at its minimum efficient scale, increasing its output slightly will lead to diseconomies of scale
a. True
b. False
A
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A sunk cost is
A) the cost for drilling certain types of wells, such as a well for water. B) a past cost that cannot be recovered. C) a cost that is highly relevant for decision-making. D) an opportunity cost.
Which one of the following statements best describes the monetarist view of economic stabilization?
A. Discretionary policies often do more harm than good. B. Monetary policy should be used to fine-tune the economy. C. Fiscal policy is more effective than monetary policy. D. Both monetary and fiscal policy are unable to influence output, employment, and the price level.
The data in the table reveal that
| Unit of Labor | Total Product | Product Price |
| 0 | 0 | $2.20 |
| 1 | 15 | 2.00 |
| 2 | 28 | 1.80 |
| 3 | 39 | 1.60 |
| 4 | 48 | 1.40 |
| 5 | 55 | 1.20 |
| 6 | 60 | 1.10 |
A. there is no level of output at which this firm can operate at a profit.
B. the firm is selling its product in an imperfectly competitive market.
C. the firm is selling its product in a purely competitive market.
D. the law of diminishing returns is not applicable to this firm.
Declining economic activity abroad will increase U.S. exports.
Answer the following statement true (T) or false (F)