For a firm in a perfectly competitive market, price is
A) equal to both average revenue and marginal revenue.
B) greater than marginal revenue but less than average revenue.
C) equal to average revenue but greater than marginal revenue.
D) less than both average revenue and marginal revenue.
A
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Ted got a ticket to this year’s Super Bowl and paid the face value of $1,000. His cousin offered him $3,000 for the ticket. Ted chose to attend the game. From this, we can infer that Ted’s value for this ticket was
A. less than $1,000. B. more than $2,000. C. at least $3,000. D. the ticket price plus his cousin’s offer, a total of $4,000.
If a good is considered a normal good, the demand curve will shift ________ when income increases because ________
A) right; the income and substitution effects move in the same direction. B) right; the income and substitution effects move in the opposite direction. C) left; the income and substitution effects move in the same direction. D) left; the income and substitution effects move in the opposite direction.
In long-run equilibrium in perfect competition, the entry and exit of firms will drive economic profits to zero
a. True b. False Indicate whether the statement is true or false
Which of the following statements is incorrect?
a. Budget deficits raise the national debt. b. The concepts of deficit and debt are closely related. c. Getting rid of the deficit eliminates accumulated debt. d. Budget surpluses lower the national debt.