Which of the following is true at each output level for a perfectly competitive firm?
a. MC = AVC = ATC
b. MR = MC
c. P > AVC
d. AR = MR = P
e. MR = AR = MC
D
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Robert received a $100 gift certificate to a bookstore a year ago. The economy has been in an inflationary period for the last year. This gift certificate is
A) expressed in real terms and is worth more. B) expressed in nominal terms and is worth less. C) not expressed in either real or nominal terms since it is not money. D) adjusted in terms of the CPI.
The people most likely to pay little personal income tax to the U.S. government are
a. the middle class. b. renters. c. the very poor. d. earners of wages (as opposed to salaries).
The benefit from an additional unit of a good or service that society receives from the consumption of that good or service is the
A) marginal private benefit. B) marginal external benefit. C) marginal social benefit. D) opportunity cost.
Like any cartel, a union is a group of sellers acting together in the hope of exerting their joint market power
a. True b. False Indicate whether the statement is true or false