Because of scarcity, we attempt to utilize our resources as efficiently as possible
a. True
b. False
Indicate whether the statement is true or false
True
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Product differentiation
A) is possibly welfare enhancing if new products match consumer preferences better. B) is welfare reducing even if new products match consumer preferences better. C) is welfare enhancing even if new products do not match consumer preferences better. D) is welfare reducing even if new products do not match consumer preferences better.
Major achievements of the European Union (EU) include the following, except:
A. Abolished tariffs and quotas among its member nations B. Liberalized the movement of capital and labor among its member nations C. Created common policies in agriculture, transportation, and business practices among its members D. Established a common fiscal policy among its member nations
An expected value is the ________ average of ________ outcomes.
A) unweighted; the most likely B) weighted; all possible C) unweighted; all possible D) weighted; the most likely
Figure 10-1
?
Suppose a perfectly competitive firm’s situation is shown in Figure 10-1 and the firm is currently producing at B. What should the firm do in this situation?
A. The firm should continue producing at B since that is the short-run equilibrium. B. The firm should increase production to C, so that MR = MC. C. The firm should decrease production to lower marginal costs. D. The firm should lower the price and continue to produce at B.