If the average cost of a product is $10 per unit and the price is $5, the firm is losing money.
Answer the following statement true (T) or false (F)
True
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The table above gives the production and prices for a small nation that produces only bread and soda. The base year is 2009. What is nominal GDP in 2009?
A) $410 B) $450 C) $900 D) $550 E) $460
For a firm in a perfectly competitive industry
A) the demand curve is unitary elastic throughout. B) marginal revenue and product price are equal at every level of output. C) the price elasticity of demand is zero. D) more output can be sold only if the firm unilaterally lowers its product price.
A rise in the domestic interest rate leads to capital outflows and makes the currency depreciate
a. True b. False Indicate whether the statement is true or false
Amy can produce either 5,000 pounds of cheese or 20 cars per year. Mike can produce either 5,000 pounds of cheese or 10 cars per year. By the principle of comparative advantage, Mike should specialize in producing
A. cars. B. cheese. C. both cheese and cars. D. neither cheese nor cars.