Every cost-minimizing producer is profit-maximizing.
Answer the following statement true (T) or false (F)
False
Rationale: Just because someone is producing an output level at the lowest possible cost does not mean she is producing the profit maximizing quantity.
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Which of the following are reasons for the increased centralization in school financing?
a. The existence of diseconomies of scale in education. b. A desire by state education agencies to decentralize control. c. A desire to equalize funding across school districts. d. Increasing positive externalities from education as globalization increases.
Computer programs or software are an example of:
a. land. b. labor. c. capital. d. none of these.
As its capital stock increases, a nation will
a. move rightward along a fixed production function b. move leftward along a fixed production function c. find its production function shifting upward d. find its production function shifting downward e. experience no change in the marginal product of labor
Suppose that a competitive market is initially in equilibrium. Then demand increases. If entering firms face the same costs as existing firms and sufficient resources are available for entering firms,
a. the long-run market supply curve will be upward sloping. b. the long-run market supply curve will be perfectly elastic. c. in the long run firms will suffer economic losses, leading them to exit the industry. d. the number of firms will decrease, and the market will become a monopoly.