Connie can clean windows in large office buildings at a cost of $1 per window. The market price for window-cleaning services is $3 per window. If Connie cleans 100 windows, her producer surplus is $200
a. True
b. False
Indicate whether the statement is true or false
True
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If marginal cost exceeds average variable cost, then ________ cost is ________ as output increases
A) average total; at a maximum B) average total; falling C) average variable; rising D) average fixed; at a maximum
For a particular product, a demand elasticity is a quantitative measure that shows:
A) the percentage change in quantity demanded relative to the absolute change in any of the other variables included in the demand function for that product. B) the absolute change in quantity demanded relative to the percentage change in any of the other variables included in the demand function for that product. C) the percentage change in quantity demanded relative to the percentage change in any of the other variables included in the demand function for that product. D) the absolute change in quantity demanded relative to the absolute change in any of the other variables included in the demand function for that product.
Economists define risk as
A) the difference between the interest rate borrowers pay and the interest rate lenders receive. B) the chance that the value of financial assets will change from what you expect. C) the ease with which an asset can be exchanged for other assets or for goods and services. D) the difference between the return on common stock and the return on corporate bonds.
In sequential games, an especially important part of strategic behavior is to:
A. "think backward, work forward." B. "think forward, work backward." C. "think forward, act backward." D. "think backward, act forward."