The marginal revenue product (MRP) of land declines as more land is brought into use. As a result the:
A. demand curve for land is downsloping.
B. demand curve for land is upsloping.
C. supply curve for land is downsloping.
D. supply curve for land is upsloping.
Answer: A
You might also like to view...
If real GDP is less than potential GDP, then the economy is ________ equilibrium
A) at an above-full-employment B) not in short-run macroeconomic C) at a below-full-employment D) in long-run macroeconomic
Four stores have a problem with theft and security is a public good. Let S stand for the number of person-hours of security patrols per week. The marginal benefit of security patrols to each of the stores is given by the formula MB = 200/(1 + S). Patrols cost $25 per hour. What is the socially efficient level of security?
A. 31 person-hours of patrols per week B. 15 person-hours of patrols per week C. 25 person-hours of patrols per week D. 32 person-hours of patrols per week
In the long run, equilibrium for a monopolistically competitive firm resembles equilibrium for a monopoly in the sense that
a. both types of firms are able to earn economic profits b. marginal cost exceeds marginal revenue c. price equals marginal cost d. price exceeds marginal cost e. average revenue exceeds price
Taiwan exports tools to the United States. Consumers in Taiwan will probably pay a(n) ________ price for tools with free trade than they would with a closed economy.
A. somewhat lower B. higher C. lower D. more fair