If aggregate supply is upward sloping, an increase in aggregate demand will result in:
A. An increase in prices and a decrease in output.
B. An increase in prices and an increase in output.
C. A decrease in prices and a decrease in output.
D. A decrease in prices and an increase in output.
B. An increase in prices and an increase in output.
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The adverse selection of wage cuts argument points out that the productivity of workers will increase if they are paid more, and so employers will often find it worthwhile to pay their employees somewhat more than market conditions might dictate
a. True b. False Indicate whether the statement is true or false
For a monopolist, marginal revenue is:
A.) Equal to price, just as it is for a perfectly competitive firm. B.) Constant up to the rate of output that maximizes total revenues. C.) Always less than price, after the first unit. D.) The same as the demand curve.
If the amount of time spent procrastinating and the performance on an exam are inversely related, then
A. more procrastination leads to lower exam grades. B. more procrastination leads to higher exam grades. C. a graph with this relationship would be positively sloped. D. the slope of the line reflecting this relationship will be 0.
In pure competition, the average revenue of a firm always equals:
A. total revenue. B. average total cost. C. marginal cost. D. marginal revenue.