Suppose Wrentham Gold Miners & Co chooses the quantity of gold each of its mines will produce over the next 12 months. Assuming the market price of gold remains constant over the period, identify the correct statement about the firm's total revenue.
a. Total revenue will vary with the price charged by the firm
b. Total revenue will be maximized when market price is less than average variable cost.
c. The total revenue curve of the firm will be U-shaped.
d. Total revenue will vary with the quantity produced by the firm.
d
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The figure above shows the market for milk. If a drought lowers the productivity of dairy cows so that they give less milk, then the efficient quantity of milk ________ and the consumer surplus ________
A) increases; increases B) increases; decreases C) decreases; increases D) decreases; decreases
Real business cycle theorists are critical of monetarist reduced-form evidence because they believe
A) money is the most important cause of changes in aggregate demand. B) there is reverse causation from the business cycle to money. C) there is reverse causation from money to the business cycle. D) business cycles do not exist.
For each of the following pairs of products, state which are complements, which are substitutes, and which are unrelated
a. House plants and potato chips b. Eyeglasses and contact lenses c. Motorcycles and gasoline d. Smartphones and smartphone apps e. Red wine and white wine
For every 3% growth in output, the unemployment rate always declines 1%.
Answer the following statement true (T) or false (F)