In a competitive price taker market, a firm's short-run supply curve is its
a. average total cost curve above its average variable cost curve.
b. marginal cost curve above its average variable cost curve.
c. marginal cost curve above its average fixed cost curve.
d. entire marginal cost curve.
B
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In an open economy, what is the source of supply of dollars in the foreign-currency exchange market?
A. Net exports B. Exports C. Net capital outflow D. Investment and net capital outflow
Refer to Table 17-5. Oil Can Harry's, a new automobile service shop, is ready to start hiring. The table above shows the relationship between the number of mechanics the firm hires and the quantity of oil changes it produces
a. Suppose the price of an oil change is $20. Complete the table by filling in the values for marginal product and marginal revenue product. b. Oil Can Harry's is an input price-taker. Suppose the wage paid to mechanics is $80 per day. What is the profit-maximizing number of mechanics? c. Suppose the wage rate rises to $100 per day. (i) What happens to the firm's demand curve for mechanics? (ii) What happens to the profit-maximizing quantity of mechanics? d. Suppose the wage rate is $60 per day and the price of an oil change is now $15. (i) What happens to the firm's demand curve for mechanics? (ii) What happens to the profit-maximizing quantity of mechanics?
What is marginal cost pricing? Why is marginal cost pricing important?
What will be an ideal response?
Which of the following forms of money is the least liquid?
a. Dollars. b. Checking account deposits. c. Passbook savings. d. Certificates of deposit.