If a profit-maximizing firm finds that, at its current level of production, MR < MC, it will
A) decrease output.
B) increase output.
C) shut down.
D) operate at a loss.
A
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Which program has been very successful in keeping the elderly out of poverty?
A. The Social Security system B. Temporary Assistance for Needy Families C. Supplemental Security Income D. The Department of Housing and Urban Development's housing programs
The two channels through which monetary policy can influence behavior in the goods market are
A. government spending and consumption. B. taxation and investment. C. investment and government spending. D. investment and consumption.
Under the original Gramm-Rudman-Hollings Act, a congressionally enacted budget deficit that was larger than the targeted amount would
A. result in both automatic tax cuts and spending increases. B. result in automatic spending cuts. C. result in automatic tax cuts. D. result in automatic spending increases.
A student at New York University used to take the Redhound bus when she visited her grandmother in Boston
After graduating, although the bus fare and the plane fare were the same as they were when she was a student, with a well-paid job on Wall Street she now takes the plane to Boston to visit her grandmother. For this student, travel by Redhound bus is A) a normal good. B) an inferior good. C) a substitute good. D) a complement good. E) a good with negative preferences.