A firm's total variable cost increases from $4,000 to $4,020 as the firm increases its output from 400 to 401 units. What is the marginal cost of producing the 401st unit?
A. $20
B. $4,020
C. $4,000
D. $10
Answer: A
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An increase in immigration will lower the equilibrium wage, all else held constant
a. True b. False Indicate whether the statement is true or false
If short-run equilibrium output equals 20,000 and potential output (Y*) equals 25,000, then this economy has a(n) ________ gap that can be closed by ________.
A. expansionary; increasing government purchases B. recessionary; increasing government purchases C. recessionary; increasing taxes D. expansionary; increasing transfer payments
A business organization that employs resources to produce goods and services for profit is
A. a firm. B. the opportunity cost of capital. C. inside information. D. economic rent.
Markets can and have been criticized for including or even encouraging a variety of negative pathologies such as greed, envy, fraud, corruption, inequality, and others. Our discussion of market ethics emphasized
A) that such criticisms have no basis in the actual experience with markets B) that market systems are primarily characterized by these kinds of activities C) that these kinds of activities stem from flaws of individuals that surface in all economic systems D) that these kinds of activities largely disappear when more economic resources and decisions are made publicly