For a monopolist, as output expands, price and marginal revenue become more divergent (i.e., are farther apart)
a. True
b. False
A
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The following is a total-product schedule for a resource. Assume that the quantities of other resources the firm employs remain constant.Units of ResourceTotal Product124242354464572If the product the firm produces sells for a constant $2 per unit, the marginal revenue product of the third unit of the resource is
A. $12. B. $18. C. $6. D. $24.
Both the World Bank and the IMF typically
A) charge lower than average loan rates to ensure repayment. B) impose stringent preconditions that the borrowers must meet. C) charge higher than average loan rates. D) make loans for less than 5 years only.
Over half of U.S. currency is
A) held abroad. B) used in the underground economy. C) held by banks as reserves. D) held by businesses, especially retailers, for making transactions.
If firms pay employees an efficiency wage: a. absenteeism would be expected to decrease. b. turnover would be expected to increase
c. training costs would likely increase. d. more shirking on the job is likely to occur.