Suppose early one Friday morning the economics club buys 200 donuts at 25 cents each, and plans to sell all of them later in day on campus for 50 cents each
Only 60 donuts are sold at 50 cents, however, and by early afternoon the club is seen trying to unload the remaining donuts for 10 cents each. What is the correct price of one of donut? A) 10 cents
B) 25 cents
C) 50 cents
D) Stated this way, the question is meaningless.
D
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Why do we not count the value of intermediate goods and services in gross domestic product? Does the value of intermediate goods and services show up in gross domestic product? If so, how?
What will be an ideal response?
What is the relationship between savings, capital formation, and consumption?
Crowding out refers to a(n)
a. decrease in the amount of goods produced after too many goods have crowded onto the market b. business tactic used to steal a competitor's customers c. increase in one sector's spending caused by an increase in another sector's spending d. decrease in the price level after too many goods have crowded onto the market e. decline in one sector's spending caused by an increase in another sector's spending
Which of the following statements is correct?
A. Average total cost is the difference between average variable cost and average fixed cost. B. Marginal cost measures the cost per unit of output associated with any level of production. C. When marginal product rises, marginal cost must also rise. D. Marginal cost is the price or cost of an extra variable input (for example, an additional worker or machine) divided by its marginal product.