If the long-run average total cost curve for a firm is horizontal in a relevant range of production, then it indicates that there
A. are diseconomies of scale.
B. are economies of scale.
C. isn't a minimum efficiency scale.
D. are constant returns to scale.
Answer: D
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A budget line shows: a. the combinations of two goods that yield the same level of utility
b. the relationship between the price and the quantity supplied of a good or service. c. the combinations of two goods that can be purchased at given prices with a given level of income. d. the relationship between the price and the quantity demanded of a good or service.
Which of the following is the government not permitted to do with surplus farm goods?
a. sell to foreign countries at lower than market prices b. support child nutrition programs c. give the food to charitable food banks d. compete with farm-goods producers e. destroy the food
Firms operating in competitive markets have little choice but to innovate
a. True b. False Indicate whether the statement is true or false
Last year a country had exports of $100 billion, imports of $70 billion, and purchased $60 billion worth of foreign assets. What was the value of domestic assets purchased by foreigners?
a. $70 billion b. $40 billion c. $30 billion d. $10 billion