For a firm to be able to engage in price discrimination, it must
A. produce more than one product.
B. have customers of different levels of wealth and age.
C. face a downward sloping demand curve.
D. have economies of scale.
Answer: C
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Which of the following will not result in a leftward shift of the market demand curve for labor?
a. a decrease in labor productivity b. a decrease in demand for the firm's product c. an increase in the wage rate d. a decrease in the firm's product price
The demand for steak is ________ than is the demand for food because ________.
A. more price elastic; the scope of the market for steak is more broadly defined B. more price elastic; the scope of the market for steak is less broadly defined C. less price elastic; the scope of the market for steak is more broadly defined D. less price elastic; the scope of the market for steak is less broadly defined
The contestable market model is the oligopoly model which results in
A. the greatest inefficiency. B. the highest profits. C. the greatest efficiency. D. the greatest deadweight loss.
Explain the difference between diminishing returns to labor and diminishing marginal returns to labor
What will be an ideal response?