According to institutionally-focused economists:
A. there is no relationship between PQ and MV because Q isn't constant.
B. there is no relationship between PQ and MV because V is constant.
C. the direction of causation goes from PQ to MV.
D. the direction of causation goes from MV to PQ.
Answer: C
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The key element in preserving a monopoly is
a. government subsidy of critical enterprises. b. keeping potential rivals out of the market. c. guaranteeing availability of substitute products. d. increased advertising expenditure.
The following table provides information about production at the XYZ-TV Company.Number of WorkersTVs ProducedMarginal ProductValue of Marginal Product00------13535$35,00026833$33,00039931$31,000412829$29,000515527$27,000 How many workers will XYZ-TV Company hire if the going wage for TV production workers is $28,000?
A. 1 B. 2 C. 4 D. 3
Given the following sectoral trade data, in which case is the level of intra-industry trade in country A different from that in country B?
a) In A, X = 10, M = 5; in B, X = 20, M = 10 b) In A, X = 7, M = 3; in B, X = 3, M = 7 c) In A, X = 3, M = 2; in B, X = 6, M = 9 d) In A, X = 6, M = 8; in B, X = 4, M = 3 e) In A, X = 12, M = 9; in B, X = 12, M = 15
If a monopolist produces 100 units of output at a market price of $5 per unit with marginal revenue per unit equaling $4, we would expect that if the monopolist's good were provided under pure competition, quantity would be:
A. lower than 100 units, price would be greater than $5, and MR = price. B. higher than 100 units, price would be lower than $5, and MR = price. C. lower than 100 units, price would be lower than $5, and MR = price. D. higher than 100 units, price would be greater than $5, and MR = price.