Suppose that a firm's long-run average total costs of producing hand-crafted chairs is $300 when it produces 10,000 chairs and $325 when it produces 11,000 chairs. For this range of output, the firm is likely experiencing
a. economies of scale.
b. constant returns to scale.
c. specialization.
d. coordination problems.
d
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Over time, a country's real GDP per capita typically
A) shrinks B) grows. C) increases and decreases randomly. D) remains stable.
Poor economies may have difficulty growing because
a. their production possibilities curves slope upward instead of downward b. they cannot cut back on their production of consumption goods to increase their production of capital goods c. they have a solid consumption base already in place d. their resource bases are fully developed e. the law of increasing costs makes it hard to produce more goods
A tax on an imported good is called a ______
Fill in the blank(s) with correct word
Suppose the interest rate is 5% and that you are to receive three annual payments of $10,000, with the first payment one year from now, the second payment two years from now, and the third payment three years from now. What is the present value of this stream of payments?