The resource cost falls in a purely competitive industry. This change will result in a(n):
A. Increase in marginal cost for firms in the industry and an increase in the industry supply curve
B. Decrease in marginal cost for firms in the industry and a decrease in the industry supply curve
C. Decrease in marginal cost for firms in the industry and an increase in the industry supply curve
D. Increase in marginal cost at each output level for firms in the industry and an increase in the industry supply curve
C. Decrease in marginal cost for firms in the industry and an increase in the industry supply curve
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In a model with leisure hours and a composite consumption good, you cannot tell whether workers will work more or less if tastes are quasilinear in the consumption good.
Answer the following statement true (T) or false (F)
A payment that is made by the government for which no goods or services are given in return is known as
A) a public good. B) a transfer payment. C) a negative externality. D) a free rider.
What is the relationship among the AD, SRAS and LRAS curves when the economy is in macroeconomic equilibrium?
What will be an ideal response?
Refer to the information provided in Figure 3.7 below to answer the following question(s).
?Figure 3.7Refer to Figure 3.7. If pizza and beer are complementary goods, a decrease in the price of beer will cause a movement from Point B on demand curve D2 to
A. demand curve D1. B. demand curve D3. C. Point A on demand curve D2. D. Point C on demand curve D2.