If a firm has two production alternatives and the price of one decreases, this will cause the other good's
A. supply curve to shift to the left.
B. supply curve to shift to the right.
C. demand curve to shift to the right.
D. demand curve to shift to the left.
Answer: B
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Credit markets are
A) bad, as they cause people to accumulate debt. B) not important for the financial crisis. C) important, but given too little attention in the past by macroeconomists. D) markets that work perfectly.
Draw a demand and supply curve for a competitive product, making sure to clearly label the axis. Give a brief explanation for why the resulting equilibrium is economically efficient
What will be an ideal response?
Which of the following is NOT an antitrust law?
A) the Robinson-Patman Act B) the Smoot-Hawley Act C) the FTC Act D) the Sherman Act
Negative marginal revenue means that
a. the firm is maximizing its economic profit b. the firm is maximizing its total revenue c. total revenue is increasing at an increasing rate as output increases d. total revenue is increasing at a decreasing rate as output increases e. total revenue is decreasing as output increases