For a firm that sells an information product, the long-run equilibrium exists at a point where
A. price equals average variable cost.
B. price equals average fixed cost.
C. price equals marginal cost.
D. price equals average total cost.
Answer: D
You might also like to view...
In general, changes in the price level will change the:
A. real value of people's wealth and income. B. nominal value of cash balances. C. real value of consumption goods only. D. nominal value of consumption goods and the real value of durable goods.
Economists use the term "ceteris paribus" to indicate that: a. the analysis is true for the individual but not for the economy as a whole
b. supply and demand are in balance. c. their conclusions are based on normative rather than positive economic analysis. d. other things are assumed to remain constant.
Why does the Fed have to be concerned with money growth even though their main focus seems to be on interest rates?
What will be an ideal response?
Controlling pollution by setting the same maximum allowable amount of pollution for each polluter, and making specific rules about the way it must be reduced, is called
A. tax-and-fine regulation. B. command-and-control regulation. C. the common-law approach. D. cap-and-trade regulation.