If a firm wants to determine total cost, it needs
A. to add its variable costs to its fixed costs.
B. the prices of inputs and of output.
C. the variable cost per unit.
D. the production function and the price of its output.
Answer: A
You might also like to view...
Starting from long-run equilibrium, a large increase in government purchases will result in a(n) ________ gap in the short-run and ________ inflation and ________ output in the long-run.
A. expansionary; higher; potential B. recessionary; higher; potential C. recessionary; lower; lower D. expansionary; higher; higher
The single source of monopolies is economies of scale.
Answer the following statement true (T) or false (F)
A price taker is a buyer or seller who:
A. can affect the market price, but only when collaborating with other buyers or sellers. B. takes the market price and chooses to increase or decrease it. C. takes prices in the area and averages them together to set the price for his/her good. D. cannot affect the market price.
When an oligopoly market reaches a Nash equilibrium,
a. the market price will be different for each firm. b. the firms will not have behaved as profit maximizers. c. a firm will have chosen its best strategy, given the strategies chosen by other firms in the market. d. a firm will not take into account the strategies of competing firms.