According to the graph shown, at point C the firm is earning:
A. fewer profits than at point B, and they should produce less.
B. higher profits than at point B, and they should produce more.
C. fewer profits than at point B, and they should produce more.
D. higher profits than at point B, and they should produce less.
Answer: A
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Refer to the figure below. In response to gradually falling inflation, this economy will eventually move from its short-run equilibrium to its long-run equilibrium. Graphically, this would be seen as
A. long-run aggregate supply shifting leftward B. Short-run aggregate supply shifting downward C. Aggregate demand shifting rightward D. Aggregate demand shifting leftward
If marginal product is at a maximum, then marginal cost is at a minimum
a. True b. False Indicate whether the statement is true or false
Unemployment insurance:
A. has a set minimum in the US. B. is typically 32 weeks in the US, except for times of unusually high unemployment. C. varies widely across countries. D. All of these are true.
Refer to the graphs shown. Which of the graphs correctly depict the long-run Phillips curve?
A. A B. B C. C D. D