A monopoly firm operating with no trade will produce the profit-maximizing quantity where:
a. the firm's MC = MR, where MR is declining and below price.
b. MR begins to increase and MC begins to decrease.
c. P = MC.
d. the firm's MC = MR, where MR is declining and equal to price.
Ans: a. the firm's MC = MR, where MR is declining and below price.
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A. didn't increase inflation rates in Zimbabwe. B. caused Zimbabwe's deflation to get even worse. C. helped pull Zimbabwe out of its recession. D. didn't increase productivity in Zimbabwe.
Banks create wealth when they lend their excess reserves.
Answer the following statement true (T) or false (F)
Which of the following will NOT shift the aggregate demand curve?
A. a change in tax rates B. a change in the amount of money in circulation C. a change in the price level D. a change in real interest rates
Refer to the information provided in Figure 2.5 below to answer the question(s) that follow.
Figure 2.5Refer to Figure 2.5. The best point for society would be
A. either Point B or Point C, as the total amount being produced at either of these points is approximately the same. B. at any of the labeled points, as all of the points represent an efficient allocation of resources. C. Point C, as at this point there are approximately equal amounts of LCD and OLED televisions being produced. D. indeterminate from this information, as we don't have any information about the society's desires.