If marginal cost exceeds average variable cost, then ________ cost is ________ as output increases
A) average total; at a maximum
B) average total; falling
C) average variable; rising
D) average fixed; at a maximum
C
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When there is a recessionary gap, inflation will ________, in response to which the Federal Reserve will ________ real interest rates, and output will ________.
A. decline; lower; decline B. increase; raise; decline C. decline; lower; expand D. decline; raise; decline
An example of a renewable resource would be:
A. trees. B. oxygen. C. fish in the ocean. D. All of these are examples of renewable resources.
Refer to the following table showing a monopolist's demand schedule: 
What is marginal revenue for a price decrease from $50 to $40?
A. $24,000 B. $40 C. $30 D. $20 E. $9,000
Refer to the diagram for a monopolistically competitive producer. If this firm were to realize productive efficiency, it would:
A. also realize an economic profit.
B. incur a loss.
C. also achieve allocative efficiency.
D. have to produce a smaller output.