Riva crafts and sells hard cider as a part-time job. She can bottle and sell four cases in a week. She is considering hiring her friend Atul to help her. Atul can bottle and sell three cases per week. What is the maximum total output possible if Riva hires Atul?
a. 3 cases
b. 4 cases
c. 7 cases
d. 11 cases
c
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A good that is both excludable and rivalrous is a(n):
a. public good. b. club good. c. private good. d. inferior good. e. necessary good.
A country's government plans a $2 billion increase in government purchases in hopes of increasing real GDP in the economy by $40 billion. The plan would work if the MPS for this economy is
A. 0.1. B. 0.2. C. 0.05. D. 0.25.
A monopolistically competitive firm minimizes its losses by producing where MR = MC as long as
A. P > ATC. B. P > MR. C. P > AFC. D. P > AVC.
When the marginal product of labor rises
A) the marginal cost of production will exceed the average total cost. B) the marginal cost of production also rises. C) the average total cost of production also rises. D) the marginal cost of production falls.