Diseconomies of scale can occur as a result of which of the following?
A) increasing marginal returns as the firm increases its size
B) lower total fixed cost as the firm increases its size
C) management difficulties as the firm increases its size
D) greater specialization of labor and capital as the firm increases its size
E) increases in the labor force not matched by increases in the plant
C
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The market for bagels contains two firms: BagelWorld (BW) and Bagels'R'Us (BRU). The owners of the two firms decide to fix the price of bagels. The table below shows how each firm's profit (in dollars) depends on whether they abide by the agreement or cheat on the agreement. 
Suppose the game above is repeated every day, and both firms adopt the following strategy: cooperate on the first day, then if the other firm cheats, cheat the next day, and if the other firm abides, abide the next day. This type of strategy is known as: ________.
A. the cartel solution B. a tit-for-tat strategy C. a prisoner's dilemma D. the golden rule
Generally,
A) countries with the most independent central banks have the lowest inflation rates. B) countries with the least independent central banks have the lowest inflation rates. C) countries without central banks have the lowest inflation rates. D) the degree of independence of a country's central banks has little to do with its inflation rate.
The increase in redistributive programs as a percentage of the government's budget has led to _____
a. a greater potential payoff for special interests b. a welfare bureaucracy dependent upon the existence of the redistributive program c. a concomitant rise in private charity d. a and b e. b and c
Suppose that each worker must use only one shovel to dig a trench, and shovels are useless by themselves. In the long run, the firm's cost function is
A) TC = (w/r) ? q. B) TC = (w + r)/q. C) TC = (w + r). D) TC = (w + r) ? q.