Consider the straight-line demand curve illustrated in the above figure. At what price is total revenue maximized?
A) at a price of $8
B) at a price of $6
C) at a price of $4
D) More information is needed to determine the price at which total revenue is maximized.
C
You might also like to view...
The U.S. trade deficit has been mainly caused by:
A. unfair trade restrictions imposed by other countries on imports. B. production of inferior goods in the U.S. C. cheap labor in other countries. D. a low rate of national saving.
Which of the following is an example of a quasi-public good?
A) stock of knowledge in the public domain B) crime prevention C) cable television D) organic apples
A widget costs $1000 in the US and CAD$1200 in Canada. The current exchange rate is 1USD=1.09CAD. Given purchasing power parity, the Canadian dollar would_______to equilibrate prices
a. Appreciate b. Depreciate c. Not change d. None of the above
In Figure 9.6, if full employment occurs at QA, then aggregate demand is
A. Too small, causing an inflationary gap. B. Just right, causing no cyclical unemployment. C. Too great, causing a recessionary gap. D. Too great, causing an inflationary gap.