Which of the following statements is true?
A) The marginal revenue of a monopolistically competitive firm will be positive at low prices and negative at high prices.
B) The marginal revenue of a monopolistically competitive firm will be positive at high prices and negative at low prices.
C) Because the demand curve for a monopolistically competitive firm is downward-sloping its marginal revenue will be negative.
D) The marginal revenue of a monopolistically competitive firm will be always be positive.
B
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The figure above shows the U.S. demand and U.S. supply curves for cherries. In the absence of international trade, how many pounds of cherries would U.S. farmers produce?
A) 200,000 pounds B) 400,000 pounds C) 600,000 pounds D) 800,000 pounds E) 0 pounds
Which of the following would NOT be a cause for an increased American demand for the Mexican peso?
A) The United States having lower interest rates than Mexico B) Increased American demand for Mexican goods C) The expectation by speculators that the value of the peso is edging up D) More economic expansion in the United States E) None of the above.
The phases of the business cycle are prosperity, downturn, depression, and recession
Indicate whether the statement is true or false
The total cost of production is measured by the sum of fixed and variable costs
Indicate whether the statement is true or false