For a fixed proportion production function, at the vertex of any of the (L-shaped) isoquants the marginal productivity of either input is:
a. constant.
b. zero.
c. negative.
d. a value that cannot be determined.
b
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A die is rolled and if the outcome is an even number, a gambler receives $10. If the outcome is an odd number, the gambler loses $10. What is the expected value of this game?
What will be an ideal response?
Which statement is true?
A. There are currently about 35 million labor union members in the U.S. labor force. B. About one out of every four sets of collective bargaining sessions ends in a strike. C. Union membership as a percentage of the labor force has been declining since the 1950s. D. None of the statements are true.
A representative firm in monopolistic competition will tend to make economic profits:
A. or losses in the short run, but the firm will break even in the long run. B. in the short run and long run. C. or losses in the short run, but the firm will make economic profits in the long run. D. and losses in the short run and long run.
Which of the following statements is true?
A. If a buyer ends up being worse off from an exchange rather than better off as expected, this is a negative externality. B. As long as the benefits to society from an exchange outweigh the costs to the producer of the good or service, no negative externality has occurred. C. Secondhand cigarette smoke is an example of a negative externality. D. As long as the benefits to society from an exchange outweigh the costs to society, no negative externality has occurred.