The fact that a purely competitive firm's total revenue curve is linear and upsloping to the right implies that:
A. product price increases as output increases.
B. product price decreases as output increases.
C. product price is constant at all levels of output.
D. marginal revenue declines as more output is produced.
Answer: C
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Total cost is equal to the sum of
A) total revenue and total cost. B) total variable cost and total product. C) total variable cost and total fixed cost. D) total fixed cost and total product. E) the marginal cost plus the total fixed cost plus the total variable cost.
Which of the following occurred during the 20th century?
(a) The total U.S. population increased. (b) The percentage of foreign-born residents decreased, on average. (c) The median age fell. (d) All of the above occurred during the 20th century.
Which scenario below most accurately describes the process by which a technological change can affect employment patterns across industries?
A) A technological advance makes it possible to produce more of good X with less labor. As a result, labor is released from producing good X. Some of this labor ends up producing goods Y and Z. B) A technological advance makes it possible to produce less of good X with less labor. As a result, labor is released from producing good X. Some of this labor ends up producing good Y. C) A technological advance makes it possible to produce more of good X with more labor. As a result, more labor is needed to produce good X. There is less labor available to produce goods Y and Z. D) A technological advance makes it possible to produce more of good X with less labor. As a result, labor becomes more important to the production of good X. More labor ends up producing good X. E) none of the above
Product differentiation makes the demand for a monopolistically competitive firm's product:
A. perfectly elastic. B. more elastic than for a monopoly. C. more inelastic than for a monopoly. D. perfectly inelastic.