Firm A produces something that Firm B uses as an input. The product of Firm B, in turn, is purchased and used as an input by Firm C, and so on down the line through Firm E, which produces the end product. The total value added by Firms A-E from the production of the end product described here is:





A.

$3,000



B.

$3,800



C.

$6,500



D.

$10,300


B.
$3,800

Economics

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Based on the figure below. Starting from long-run equilibrium at point C, an increase in government spending that increases aggregate demand from AD to AD1 will lead to a short-run equilibrium at point ________ creating _____gap.  

A. D; an expansionary B. B; no output C. B; expansionary D. A; a recessionary

Economics

In the above figure, the total consumer surplus at the efficient level of output is ________

A) $4.5 million B) $9.0 million C) $2.5 million D) $8.5 million

Economics

Firm governance must enhance

A) wages. B) control by stockholders. C) efficiency. D) government regulation.

Economics

Which would most likely shift the aggregate supply curve? A change in:

a. Government spending b. Excess capacity in business c. Consumer expectations d. Prices of imported resources

Economics