A monopolistically competitive firm maximizes profit where
A) price > marginal cost. B) total revenue > marginal cost.
C) marginal revenue > average revenue. D) price = marginal revenue.
A
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Which factor of production receives the greatest share of the U.S. national income?
a. land b. labor c. capital d. entrepreneurship
A(n) _______ does not pose the problem of scarcity; one use of the good is not an alternative to another use.
A) free good B) scarce good C) economic good D) monetary good
Suppose the demand function is given by Qxd = 8Px-0.5 Py0.25 M0.12 H. Then the demand for good x is:
A. unitary. B. perfectly elastic. C. inelastic. D. elastic.
Consumers maximize total utility within their budget constraint by
A) buying the cheapest goods they can find. B) buying whatever they like the best. C) buying the goods with the largest marginal utility per dollar spent. D) spending the same dollar amount for each good.