A firm that is seeking to minimize costs to produce a certain output:
a. has a fixed budget
b. has a large budget
c. wants to use the smallest possible budget possible
d. wants to use the same budget as that used last year
c
You might also like to view...
When an international financial crisis occurs
A) financial lenders protect their investments by pouring money into the ailing country. B) there are no serious financial effects that last more than a few months. C) financial flows can slow to a trickle, influencing economic growth. D) investors sell off bonds and restrict loans as a mechanism to help the country recover.
When the aggregate supply curve intersects the aggregate demand curve at a level of real GDP that exceeds potential GDP, is there an inflationary gap or a deflationary gap? What adjustments will take place?
What will be an ideal response?
Refer to Figure 7-4. The efficient price of medical services is
A) $25. B) $40. C) $55. D) >$55.
Modeling trade in imperfectly competitive industries is problematic because
A) there is no single generally accepted model of behavior by imperfectly competitive firms. B) there are no models of imperfectly competitive behavior. C) it is difficult to find an imperfectly competitive firm in the real world. D) collusion among imperfectly competitive firms makes usable data rare. E) there is only a single model of imperfect competition (monopoly) but imperfect competition can take many forms in the real world.