The minimum point of the average total cost curve always occurs at a larger output level than the minimum point of the average variable cost curve because:
A. marginal cost is rising.
B. average fixed costs are falling.
C. marginal cost is falling.
D. average fixed costs are rising.
Answer: B
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The lower half of income earners pay ________ of federal income taxes.
A. 1% B. 14% C. 2% D. 38%
Suppose that in the future, real GDP per person grows 2 percent a year in the United States and 4 percent a year in China. It will take real GDP per person approximately ________ years to double in the United States and approximately ________ years to double in China.
A) 35; 8.75 B) 35; 17.5 C) 20; 10 D) 50; 25 E) 70; 35
When the long-run average total cost does not change as the level of output varies, there are constant returns to scale
a. True b. False Indicate whether the statement is true or false
If there are no unexploited opportunities for individuals in a particular market, then one can conclude that:
A. the market is in equilibrium. B. government regulation has been successful. C. a socially optimal outcome has been achieved. D. the market is not in equilibrium.