Refer to Table 7.1, which shows the relationship between the price that Gladys charges for a product and the quantity of that product that Gladys sells. The marginal revenue that Gladys receives from selling the fifth unit of output is:
A. $5, because that is the price per unit of output that Gladys receives.
B. $5, because that is the quantity that Gladys sells.
C. $25, because Gladys sells five unit of output at a price of $5.
D. $1, because Gladys earns $1 more in revenue by increasing her output to five units from four units.
Answer: D
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Refer to the information provided in Figure 1.4 below to answer the question(s) that follow.
Figure 1.4Refer to Figure 1.4. Panel A shows a curve which has a slope that is
A. first negative, then zero, and then positive. B. first positive, then zero, and then negative. C. infinite throughout. D. zero throughout.
If a person attends a public college and is not hired because the boss went to a private college, this might be an example of
A) statistical discrimination. B) racial discrimination. C) screening. D) moral hazard.
Explain what the profit-maximizing combination of resources is for the perfectly competitive firm
What will be an ideal response?
Invention alone does not explain why free market societies have experienced such rapid rates of economic growth
a. True b. False Indicate whether the statement is true or false