If demand increases and supply decreases, then equilibrium price must decrease, but equilibrium quantity is indeterminate
a. True
b. False
Indicate whether the statement is true or false
False
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To avoid subsidies, the government should cap the price for natural monopolies at their:
A. marginal cost. B. fixed cost. C. average total cost. D. average variable cost.
Which of the following caused the supply curve for HD televisions to shift to the right?
a. the falling prices of component parts b. the increasing prices of shipping parts c. old, outdated factories d. lack of technological advances
The marginal principle implies that an individual should produce or consume where:
A. marginal benefit exceeds marginal cost. B. marginal benefit is less than marginal cost. C. marginal benefit equals marginal cost. D. total benefit equals total cost.
Refer to Table 17.2. The marginal product of the seventh unit of labor is:
A. 50. B. 40. C. 30. D. 10.