Suppose that a firm operating in perfectly competitive market sells 100 units of output. Its total revenues from the sale are $500 . Which of the following statements is correct? (i) Marginal revenue equals $5. (ii) Average revenue equals $5. (iii) Price equals $5
a. (i) only
b. (iii) only
c. (i) and (ii) only
d. (i), (ii), and (iii)
d
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Bill ate four hot dogs at the baseball game. The first one tasted best, but he found that as he ate more hot dogs the amount of extra satisfaction he was receiving was beginning to fall. This would demonstrate
A. law of zero utility B. law of diminishing marginal utility C. law of total utility maximization D. law of diminishing costs
The Sherman Antitrust Act:
A. no longer applies to business practices today. B. was passed in 1800. C. was actively used by President Roosevelt in the early 20th century. D. All of these statements are true.
Assuming a competitive labor market, the marginal revenue product of labor: a. is the ratio of the output price and the extra output produced by an additional unit of labor. b. is always equal to one
c. is used to calculate the cost of labor to a firm. d. is equal to the value of the marginal physical product of labor.
Suppose that the exchange rate between the U.S. dollar and the Mexican peso is 1 peso = $0.11. If the U.S. dollar price per Mexican peso changes to 1 peso =$0.10, the peso is said to have __________ and the dollar to have __________
A) depreciated; appreciated B) appreciated; appreciated C) appreciated; depreciated D) depreciated; depreciated