The goal of profit-maximizing extraction firms such as an oil company or a mining company is to extract resources:
A. As fast as possible
B. As slowly as possible
C. When the user costs are rising
D. For the greatest stream of profit over time
D. For the greatest stream of profit over time
You might also like to view...
Explain why the expenditure multiplier is greater than 1
What will be an ideal response?
Hans can do 4 loads of laundry per hour, and he can type 6 pages per hour. Maria can do 12 loads of laundry per hour, and she can type 8 pages per hour. Maria’s opportunity cost of doing one load of laundry is:
A. 4 pages. B. 6 pages. C. 2/3 of a page. D. 3/2 of a page. E. impossible to compute without additional information.
The bond markets are important because they are
A) easily the most widely followed financial markets in the United States. B) the markets where foreign exchange rates are determined. C) the markets where interest rates are determined. D) the markets where all borrowers get their funds.
We know with certainty that a consumer will buy a newly introduced product rather than an existing product when the:
A. MU/P of the new product exceeds the MU/P of the existing product. B. price of the new product is less than the price of the existing product. C. MU of the new product is more than the MU of the existing product. D. law of diminishing marginal utility applies to the existing product.