At the competitive equilibrium quantity supplied equals quantity demanded in all markets
Indicate whether the statement is true or false
True . When the MRS = MRT = ratio of prices, the optimal product mix is produced efficiently and firms sell at marginal cost.
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When Apple put together a set of mobile apps with its iPhone, it was practicing
A) a loss leader. B) tie-in sales. C) bundling. D) compacting.
Suggested donations on fundraising items sent to you in the mail is an example of:
A. loss aversion. B. positive framing. C. anchoring. D. rule of thumb.
For most goods and most people, marginal utility probably: a. continues to increase as larger quantities are purchased. b. declines as consumption increases
c. plummets after the first few units but soon begins to rise. d. is negative after the first unit of a good is purchased.
The characteristic of ease of entry and exit ensures that perfectly competitive firms will be able to earn positive economic profits over the long run
Indicate whether the statement is true or false