Consider two goods X and Y available for consumption. Assume that the price of X changes while the price of Y remains fixed. For these two goods, the price-consumption curve illustrates the
A) relationship between the price of X and consumption of Y.
B) utility-maximizing combinations of X and Y for each price of X.
C) relationship between the price of Y and the consumption of X.
D) utility-maximizing combinations of X and Y for each quantity of X.
B
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Marginal revenue is defined as
A) the value of a firm's sales. B) the total revenue from the total amount the firm sells. C) the change in total revenue that results from a one-unit increase in the quantity sold. D) total revenue divided by the total quantity sold.
Abundance of natural resources is a necessary but not sufficient condition for economic growth
a. True b. False Indicate whether the statement is true or false
Under EPA regulations, a factory
a. must pay for the right to pollute. b. can increase air pollution from its grinding process if it decreases air pollution from its smelting process. c. cannot under any circumstances build a polluting factory in an area where pollution standards are not being met by existing firms. d. None of the above is correct.
The opportunity cost of attending college is
A) the money one spends on college tuition, books, and so forth. B) the highest valued alternative one forfeits to attend college. C) the least valued alternative one forfeits to attend college. D) equal to the salary one will earn when one graduates from college.