A firm will shut down in the short-run if

a. P>AVC
b. P c. Profits<0
d. P


b

Economics

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Which of the following is not considered a factor of production?

A) money B) capital C) land D) entrepreneurial ideas E) labor

Economics

The figure above shows that as a result of the tariff, the quantity of T-shirts produced in the United States ________, and the quantity of T-shirts imported ________

A) increases by 15 million per year; decreases by 30 million per year B) increases by 15 million per year; increases by 15 million per year C) decreases by 15 million per year; decreases by 30 million per year D) decreases by 30 million per year; increases by 30 million per year E) does not change; decreases by 15 million per year

Economics

Suppose a consumer is willing to pay $20 for one good X, $10 for a second, and $5 for a third, and the market price is $4 . The consumer surplus is:

a. $16 b. $6. c. $1 d. $23.

Economics

A weakness in the classical economic claim that a recession is caused by a decrease in labor demand curve is

a. that labor demand never changes b. that labor demand increases during a recession c. that labor supply decreases during a recession d. the confusion between a shift of the labor demand curve and a movement along that curve e. the impossibility in the classical model of total spending ever being deficient

Economics