At what level of output will average variable cost equal average total cost?
a. when marginal cost equals average total cost
b. for all levels of output in which average variable cost is falling
c. when marginal cost equals average variable cost
d. There is no level of output where this occurs, as long as fixed costs are positive.
d
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If the dollar depreciates relative to the Swiss franc
A) Swiss chocolate will become cheaper in the United States. B) American computers will become more expensive in Switzerland. C) Swiss chocolate will become more expensive in the United States. D) Swiss computers will become cheaper in the United States.
Suppose that your marginal federal income tax rate is 30%, the sum of your marginal state and local tax rates is 5%, and the yield on a thirty-year corporate bond is 10%
You would be indifferent between buying this corporate bond and buying a thirty-year municipal bond issued within your state (ignoring differences in liquidity, risk, and costs of information) if the municipal bond has a yield of A) 6.5%. B) 7.0%. C) 9.5%. D) 10.0%.
If public subsidies for education were eliminated, what would you expect as an outcome in the market for educational services?
A. The quality of education would deteriorate. B. The price students pay to attend school would equal the value of an additional unit of education consumed. C. More students would enroll in school. D. There would be no correlation between the price students pay and the cost of providing the educational services.
________: the technically efficient combination of two products a business can produce in the current period given its existing resources and technology
Fill in the blank(s) with correct word