It's logical, it's a rule of thumb, it's an economic guideline: By producing at a quantity where MR = MC,
a. profit is guaranteed
b. profit becomes zero
c. the firm incurs a loss
d. profit is maximized (or loss minimized)
e. the firm should increase quantity
D
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An example of in-kind assistance to the poor is TANF
a. True b. False Indicate whether the statement is true or false
You observe a closed economy that has a government deficit and positive investment. Which of the following is correct?
a. Private and public saving are both positive. b. Private saving is positive; public saving is negative. c. Private saving is negative; public saving is positive. d. Both private saving and public saving are negative.
If the economy is at the point where the short-run Phillips curve intersects the long-run Phillips curve,
a. unemployment equals the natural rate and expected inflation equals actual inflation. b. unemployment is above the natural rate and expected inflation equals actual inflation. c. unemployment equals the natural rate and expected inflation is greater than actual inflation. d. None of the above is necessarily correct.
What is the total surplus of a market?
A. the sum of consumer surplus and producer deficit B. the sum of consumer surplus and producer surplus C. the difference between the consumer surplus and producer surplus D. the difference between the highest price that a consumer is willing to pay and the lowest price that a producer is willing to sell