Price discrimination occurs when
a. firms maximize their profit by setting price equal to marginal cost.
b. a seller charges different prices to different consumers for the same product or service.
c. a seller charges the same price to consumers for a different product or service.
d. a seller charges different prices to consumers, discriminating by race or gender of the consumer.
B
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The object of diversification is
A) to reduce risk and fluctuations in income. B) to reduce risk, but not to reduce fluctuations in income. C) to reduce fluctuations in income, but not to reduce risk. D) neither to reduce risk, nor to reduce fluctuations in income.
U.S. GDP increased from $12.5 trillion in 2005 to $14 trillion in 2009. This means that:
A. people in the U.S. produced more goods and services in 2009 than in 2005. B. the prices of all goods and services were higher in 2009 than in 2005. C. Either of these could be true. D. Both of these must be true.
Under a consumption tax, only current expenditures are taxed.
A. True B. False C. Uncertain
Refer to the following graph. The price of labor is $3 per unit:
How many units of labor should a firm use in order to produce 100 units of output at the least cost?
A. 15 units of labor B. 10 units of labor C. 5 units of labor D. 20 units of labor