A perfectly competitive firm will shutdown when the price is just below the minimum point on the

A. marginal revenue curve.
B. average variable cost curve.
C. average fixed cost curve.
D. marginal cost curve.
E. average total cost curve.


Answer: B. average variable cost curve.

Economics

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Which of the following is NOT an example of off-balance-sheet lending?

A) a swap B) a standby letter of credit C) a loan commitment D) a loan sale

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"Value pricing" stresses the importance of product differentiation

Indicate whether the statement is true or false

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If an indifference curve is bowed in toward the origin, the marginal rate of substitution is

a. not likely to reflect the relative value of goods. b. likely to be constant for all bundles along the indifference curve. c. likely to be identical to the price ratio for each bundle along the indifference curve. d. different for each bundle along the indifference curve.

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if the average price level rises from 120 in year 1 to 130 in year 2, the inflation rate between year 1 and 2 will be

What will be an ideal response?

Economics