So long as marginal cost is greater than average variable cost, both average variable cost and average total cost must increase as output is increased
Indicate whether the statement is true or false
FALSE
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In monopolistic competition, each firm's marginal revenue curve has a ________ and its demand curve has a ________
A) slope equal to zero; slope equal to zero B) slope equal to zero; negative slope C) negative slope; a slope equal to zero D) negative slope; negative slope
The ________ the sale of an additional unit of a product is a marginal benefit to the firm
A) total value of B) revenue received from C) sales tax on D) extra cost of
Specializing on the basis of marginal cost of production and trading allows both parties to consume more than their respective production sets would allow
Indicate whether the statement is true or false
Central banks can increase the money supply by:
a. Raising margin requirements. b. Selling government securities. c. Selling foreign exchange. d. Making discount loans. e. None of the above.