Use the above figure. The economic profit for this firm is

A) zero.
B) the distance between T and E.
C) the distance between E and x-axis.
D) the distance between T and x-axis.


A

Economics

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Answer the next question on the basis of the following data.OutputTotal Cost0$24133241348454561669The marginal cost associated with the production of the third unit of output is

A. $7. B. $12. C. $8. D. $6.

Economics

Refer to the diagram, in which Q f is the full-employment output. A contractionary fiscal policy would be most appropriate if the economy's present aggregate demand curve were at:



A.  AD 0 .
B.  AD 1 .
C.  AD 2 .
D.  AD 3 .

Economics

Assume that the supply curve is horizontal because marginal cost is constant at $10. If John, Robert, and Jimmy each value one compact disc at $20 but only Jimmy values a second compact disc, then the total value in this market is $35 if

a. Jimmy’s value for a second compact disc is $0. b. Jimmy’s value for a second compact disc is $5. c. Jimmy’s value for a second compact disc is $10. d. Jimmy’s value for a second compact disc is $35.

Economics

A freeze in Florida's orange growing regions will:

A result in a sharp increase in the price of oranges in the short run because demand and supply are highly elastic. B result in a sharp increase in the price of oranges in the short run because demand and supply are highly inelastic. C result in little change in the price of oranges in the short run because supply is infinitely elastic. D result in a sharp decrease in the price of oranges in the short run because demand is highly inelastic and supply is highly elastic.

Economics