Managers need all of the following information to determine if the firm should make or buy an input except which one?
A) the salvage rate of the equipment to make the input
B) the quantity of the input the firm needs each year
C) the firm's discount rate
D) the present value of the firm's current profit
D) the present value of the firm's current profit
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Use the figure below: If good skiing costs $100 per day and horseback riding costs $50 per day, if you have $250 to spend which indifference curve would maximize your utility?
A. Curve A B. Curve B C. Curve C D. None of these curves
You are the mayor of your home town, and one day you arrive at city hall to find angry voters demonstrating against you. They are mad because your office created a garbage-collection monopoly by awarding only one company a permit to collect garbage in
your town. The voters claim that the company is overcharging and providing poor service. They want you to do something that will lower rates and improve service. You call your staff economist, who presents evidence that there are substantial increasing economies of scale to garbage collection. What are your options if you are interested in efficiency?
The Federal Reserve is run at the national level by _____
a. Congress b. the president c. a board of governors d. the federal government
If the price of output decreases, the equilibrium wage of workers who produce that output will ________ and ________ workers will be hired.
A. increase; more B. increase; fewer C. decrease; more D. decrease; fewer