When the price of a product increases, the marginal revenue product curve in a perfectly competitive market
A. shifts to the left.
B. shifts to the right.
C. becomes flatter.
D. does not change.
Answer: B
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Fogel and Engerman (1974) are generally of the opinion that American slavery
(a) was antiquated, inefficient and was on the verge of existance. (b) was thriving and profitable in the decades prior to the Civil War. (c) provided conditions for a reasonably normal family life and standard of living for the slaves with very little breakup of slave families or exploitation of slaves. (d) was inferior to the wage-labor system in the South and would have likely been replaced with time.
The total factor productivity of railroads increased dramatically in the antebellum period. All of the following factors are responsible for the increase in productivity except:
a. standardization of the gauge of railroad tracks. b. the introduction of refrigerated railroad cars. c. increased size of railroad cars. d. increased use of existing capital.
A country's real GDP rose from $500 to $530 while its nominal GDP rose from $600 to $700 . What was this country's inflation rate?
a. 16.7%. b. 10.0%. c. 15.0%. d. -9.1%.
An economist would be more likely to argue against reducing inflation if she thought that
a. the central bank lacked credibility and if bonds were usually not indexed for inflation. b. the central bank lacked credibility and if bonds were usually indexed for inflation. c. the central bank had credibility and if bonds were usually not indexed for inflation. d. the central bank had credibility and if bonds were usually indexed for inflation.