A firm wanting to maximize profits should operate in such a way that
A) the MRP of each input is equal to or greater than its MFC.
B) MRP equal MFC in the input market but MC must exceed MR in the output market.
C) marginal revenue must be equal to the marginal revenue product.
D) none of the above.
A
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Which of the following would result in GDP for an economy equal to $10 trillion?
A) C = $7 trillion I = $2 trillion G = $4 trillion NX = $3 trillion B) C = $6 trillion I = $2 trillion G = $1.5 trillion NX = -$2 trillion C) C = $4 trillion I = $3 trillion G = $2 trillion NX = -$1 trillion D) C = $5 trillion I = $5 trillion G = $2 trillion NX = -$2 trillion
Which is not a desirable property of money?
The government can internalize externalities by taxing goods that have negative externalities and subsidizing goods that have positive externalities
a. True b. False Indicate whether the statement is true or false
Honus Wagner, a major league baseball player from 1897 to 1917 and one of the first five men inducted into the Baseball Hall of Fame, had his baseball card pulled from cigarette packs because he wasn't being paid for their distribution. What best describes the effect of his action on the market for his baseball card?
A. Demand shifted to the left, price fell, and supply fell. B. Supply shifted to the left, price rose, and quantity demanded fell. C. Demand shifted to the left, price fell, and quantity supplied fell. D. Supply shifted to the left, price rose, and demand shifted to the left.