Choose the letter below that best represents the type of shift that would occur in the following situation in the United States: Between 1995 and 2000, the stock market's value increased significantly, adding billions of dollars to the wealth of U.S. households and businesses. (See Figure 8.6.)
A. A.
B. B.
C. C.
D. D.
Answer: D
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If a firm is a natural monopoly, society will benefit if it is broken into several small companies.
Answer the following statement true (T) or false (F)
If B represents resource markets and C represents households, then the flow from B to C is _____
a. revenue. b. expenditures. c. labor, capital, and natural resources. d. income. e. wages, interest, rent, and profit. check image at top
A firm's average total cost is minimized at $5/unit when it produces 10 units. What is the marginal cost when the firm produces 10 units?
A. Greater than $5/unit B. $5/unit C. Less than $5/unit D. $10/unit