Rate of return regulation sets the price at a level that enables the regulated firm to earn a specified target percent return on its
A) total cost.
B) sales revenue.
C) capital.
D) variable cost.
C
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Which of the following is a consumption good or service?
A) a United Parcel Service truck delivering Christmas gifts B) a personal computer purchased in order to play games at home C) a satellite dish installed by Cox Cable to download programs that are then distributed through its cable system D) a United Airline ticket counter E) the Endeavor space shuttle
Minimum efficient scale refers to the lowest level of output at which
A) the firm can earn a profit. B) average cost is minimized. C) the firm will operate. D) the average cost curve is downward sloping.
What is the advantage of the government imposing an ad valorem tax over a specific tax when facing a monopoly?
What will be an ideal response?
The greater the marginal propensity to consume in the economy, the smaller the spending multiplier
a. True b. False Indicate whether the statement is true or false