In a competitive industry, each firm has a cost function 
(for a given set of input prices). Demand for the industry's output is 
. The (long run) equilibrium number of firms is
A. 120
B. 58
C. 46
D. 34
E. 29
F. 12
G. 2
H. None of the above
Answer: B
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The introduction of new technologies to production is ________ source of productivity improvement.
A. the only B. the least important C. no longer a D. the most important
Suppose the latest Hunger Games movie first played in theaters, where it sold out during its opening week. Several months later it was available on pay-per-view TV. Two years later it was shown on CBS, a broadcast television network. When the movie was playing in theaters, it was a ________ good; when it was available on pay-per-view TV, it was a ________ good; and when it was shown on CBS, it was a ________ good.
A. private; collective; public B. collective; commons; public C. private; public; public D. collective; private; commons
In the short run, a decrease in aggregate demand will decrease:
A. the price level and have no effect on real domestic output. B. both real output and the price level. C. the price level and increase the real domestic output. D. the real domestic output and have no effect on the price level.
The division of labor can benefit society only if
A. a system of exchange exists. B. society uses all of its resources efficiently. C. society has no specialized resources. D. labor resources are not scarce.