The law of diminishing returns causes a firm's short-run marginal cost curve to be s-shaped
a. True
b. False
Indicate whether the statement is true or false
False
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Explain the difference between financing investment with a business loan versus with venture capital. What are the pros and cons of each?
What will be an ideal response?
Assume the demand for cigarettes is relatively inelastic, and the supply of cigarettes is relatively elastic. When cigarettes are taxed, we would expect
a. most of the burden of the tax to fall on sellers of cigarettes, regardless of whether buyers or sellers of cigarettes are required to pay the tax to the government. b. most of the burden of the tax to fall on buyers of cigarettes, regardless of whether buyers or sellers of cigarettes are required to pay the tax to the government. c. the distribution of the tax burden between buyers and sellers of cigarettes to depend on whether buyers or sellers of cigarettes are required to pay the tax to the government. d. a large percentage of smokers to quit smoking in response to the tax.
Because of higher gasoline prices, firms using gasoline intensively in the production or distribution of their goods have experienced:
A. an upward shift in their MC, AVC, and ATC curves. B. an upward shift in their AFC, AVC, and ATC curves. C. a downward shift in their MC, AFC, and AVC curves. D. greater economies of scale.
To be eligible for Medicaid, pregnant woman and children under one-year-of-age must live in a household with family income under
A. 133% of the poverty line for their family size. B. 185% of the poverty line for their family size. C. $10,000. D. $35,000.