Table 7.2 contains price, demand and cost data for the Capri Theater, the only first-run movie theater in a small town. What is its profit from students under the single price policy?
A. $150
B. $180
C. $450
D. $540
Answer: A
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If an asset can be obtained or disposed of without much risk of losing its nominal value, it is said to be
A) valuable. B) wealth. C) fiduciary. D) liquid.
Frictional unemployment arises when
A) unskilled or low-skilled workers find it difficult to obtain desirable, long-term jobs. B) labor must be reallocated from industries that are shrinking to areas that are growing. C) workers must search for suitable jobs and firms must search for suitable workers. D) output and employment are below full-employment levels.
Every allocation of goods in a one good world is efficient because:
a. MRSs are equalized. b. there is enough to go around for everyone. c. no one can be made better off without making someone else worse off. d. it doesn't matter to whom an extra unit of the good is given.
Which of the following is true about a perfectly competitive firm in the long run and in the short run?
A. The supply curve in the short run is usually steeper than the supply curve in the long run. B. The supply curve in the short run is usually flatter than the supply curve in the long run. C. The demand curve in the short run is usually steeper than the marginal cost curve in the long run. D. The supply curve in the short run is usually steeper than the average total cost curve in the long run.