A profit-maximizing monopolistically competitive firm will expand output to the point where:
a. total revenue equals total cost.
b. marginal revenue equals marginal cost.
c. price equals average total cost.
d. price equals marginal cost.
b
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Fitness is a magazine for women about health and exercise. Fitness offers year subscriptions for $12 on their website. Jess, Ania, Mandy, and Chloe exercise together and each enjoy reading Fitness
Jess is willing to pay $10, Ania is willing to pay $16, Mandy is willing to pay $24, and Chloe is willing to pay $12 for a subscription to the magazine. Who will subscribe to the magazine? A) Ania, Mandy, and Chloe B) Jess, Ania, Mandy, and Chloe C) Jess, Ania, and Chloe D) Mandy and Chloe
Hyperinflation is usually accompanied by a great macroeconomic expansion
a. True b. False Indicate whether the statement is true or false
When policymakers are considering a particular action, they can use consumer surplus as a(n)
a. objective measure of the benefits to buyers as determined by policymakers. b. measure of the benefits to buyers as the buyers perceive them. c. potentially flawed measure of the benefits to buyers if the buyers are not rational. d. Both b) and c) are correct.
The ________ is the product of the marginal product of labor and the price of the output.
A. marginal revenue product B. average revenue C. total revenue D. marginal factor cost