The profit maximizing combination of resources
A) usually involves more of each input hired than the cost minimizing combination of resources.
B) usually involves less of each input hired than the cost minimizing combination of resources.
C) usually involves hiring more of some resources and less of other resources than the cost minimizing combination of resources.
D) is also the cost minimizing combination of resources.
D
You might also like to view...
Assuming all else equal, if the labor demand curve shifts to the left and the labor supply curve remains unchanged, ________
A) equilibrium wage falls B) consumption falls C) unemployment rises D) equilibrium wage rises
Suppose that three oligopolistic firms are currently charging $12 for their product. The three firms are about the same size
Firm A decides to raise its price to $18, and announces to the press that it is doing so because higher prices are needed to restore economic vitality to the industry. Firms B and C go along with Firm A and raise their prices as well. This is an example of A) price leadership. B) collusion. C) the dominant firm model. D) the Stackelberg model. E) none of the above
You operate a small poultry farm in east Texas. You sell most of your output through a regional distributor of poultry products in the area. In this case, you are subject to
a. Low buyer power b. High buyer power c. No buyer power d. All of the above
Figure 16.4The pollution tax in Figure 16.4:
A. reduces equilibrium output. B. reduces equilibrium price. C. increases supply. D. All of these