A new Mexican restaurant opens in the city of Manchester. The other restaurant owners are not happy about this new restaurant because they are experiencing what externality?
business-stealing externality
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Which of the following is correct about a consumer's optimization problem:
A. In order for a consumer to not be optimizing at a corner solution, it is necessary for us to assume that all goods are essential. B. In order for a consumer to not be optimizing at a corner solution, it is sufficient for us to assume that all goods are essential. C. In order for a consumer to not be optimizing at a corner solution, it is necessary and sufficient for us to assume that all goods are essential. D. None of the above.
Labor (# of employees)Total Output0011025031104160520062307255827592901030011305Assume the table shown is for a hat factory, and shows the total production of hats given various numbers of employees. Adding a seventh employee adds:
A. 275 hats to total production. B. 20 hats to total production. C. 255 hats to total production. D. 25 hats to total production.
The market demand for school supplies is more elastic at the beginning of the semester than it is at the start of summer vacation.
Answer the following statement true (T) or false (F)
Figure 13.1 shows a demand and costs of an unregulated monopoly. At the output level of 22,000 units:
A. the firm's marginal revenue is smaller than its marginal cost. B. the firm is earning a zero economic profit. C. the firm is producing more than its profit maximizing level of output. D. All of these are correct.