A firm increases output from 2 to 4 units per week. As it does its total costs rise from €1200 to €1500, while its fixed costs remain constant at €800. The firms MC is:
(a) €100.
(b) €150.
(c) €300.
(d) Zero.
Answer: (b) €150.
You might also like to view...
Menu costs ________
A) are the cost a firm bears when it changes its prices B) are one source of price stickiness because changing prices involves many hidden costs C) are one source of price stickiness because firms may not want to change their "menus" too often and risk alienating customers D) all of the above E) none of the above
A fair price gets its name because it is the price at which
a. society values the marginal product in proportion to the cost of the resources used in production b. the marginal benefit of the last unit consumed is equal to the marginal value of the resources used to produce it c. the monopolist would make normal profit in a competitive market d. resources are distributed equitably e. normal profit would be made in any other market
Comparative advantage indicates which specific terms of trade will arise, given two countries' production possibilities
a. True b. False Indicate whether the statement is true or false
Answer the following statement(s) true (T) or false (F)
1. In the United States, the first law dealing with drinking water was passed in the 1920s. 2. The first Safe Drinking Water Act (SDWA) was passed in the 1970s. 3. The Safe Drinking Water Act Amendments of 1996 represent the law currently in force. 4. The Drinking Water State Revolving Fund (DWSRF) was established under the original Safe Drinking Water Act of 1974. 5. Under the American Recovery and Reinvestment Act, $2 billion was earmarked for the Drinking Water State Revolving Fund.