If the marginal utility of a product exceeds its MC, we would want, on efficiency grounds, to
a. increase production.
b. decrease production.
c. leave production constant.
d. One cannot tell without knowing the price.
a
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President Obama's 2009 stimulus package greatly increased the budget deficit
Indicate whether the statement is true or false
When the Fed makes higher interest payments on bank reserves, banks will hold ________ reserves which will ________ the money supply
A) less; increase B) less; decrease C) more; increase D) more; decrease
Refer to the table above. When the ________ is employed, diminishing marginal returns sets in
A) second worker B) fourth worker C) sixth worker D) eighth worker
Factors of production are usually divided into all of the following categories except
A) labor. B) capital. C) interest. D) natural resources.