In the above figure, if a firm is cleaning up Q4 units of pollution, it is an
A. efficient solution, because marginal social benefits are greater than marginal social costs.
B. efficient solution, because marginal social benefits are equal to marginal social costs.
C. inefficient solution, because marginal social benefits are greater than marginal social costs.
D. inefficient solution, because marginal social costs are greater than marginal social benefits.
Answer: D
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In the above table, the total fixed cost is
A) $0. B) $20. C) $30. D) $50.
Economists tend to judge a model based upon
A) the reality of its assumptions. B) the accuracy of its predictions. C) its simplicity. D) its complexity.
In January 2015, Tim's Gyms, Inc. owned machines valued at $1 million. During the year, the market value of the equipment fell by 30 percent. During 2015, Tim spent $200,000 on new machines. During 2015, Tim's net investment totaled
What will be an ideal response?
Refer to the information provided in Figure 7.8 below to answer the question(s) that follow. 
Figure 7.8Refer to Figure 7.8. The firm's isocost line would shift from CE to CD if
A. the price of capital increased. B. the firm's total expenditure on inputs increased. C. the price of labor increased. D. either the price of labor increased or the firm's total expenditure on inputs increased.