At a consumer's optimal choice, the consumer chooses the combination of goods that equates the marginal rate of substitution and the price ratio
a. True
b. False
Indicate whether the statement is true or false
True
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Resale price maintenance prevents retailers from competing on price
a. True b. False Indicate whether the statement is true or false
In which of the following ways is the demand curve different in graph a and graph b
a. In graph a, its horizontal; in graph b, its upward sloping.
b. In graph a, it touches the minimum point of the ATC curve; in graph b it misses this point.
c. In graph a, it equals P; in graph b, it equals MC.
d. In graph a, it intersects the MC curve; in graph b, it misses the MC curve.
Economists will always reach the same conclusion in their positive analyses.
Answer the following statement true (T) or false (F)
In Figure 5.1, the demand curve that has an infinite elasticity is shown on graph:
A. A. B. B. C. C. D. D.