A firm that is maximizing its profit
A) is economically efficient and technologically efficient.
B) is economically efficient but might be technologically inefficient.
C) is technologically efficient but might be economically inefficient.
D) might be economically inefficient and/or technologically inefficient.
A
You might also like to view...
Which of the following is NOT included in the M1 measure of money?
A) currency held outside banks B) currency held in bank vaults C) checking deposits at commercial banks D) checking deposits at credit unions
If the combination r = 5% and Y = $450 billion is on the IS curve, we know that the combination r = 5% and Y = $300 billion would represent
A. a movement up the IS curve. B. a movement down the IS curve. C. the IS curve shifting to the left. D. the IS curve shifting to the right.
Real GDP per capita is found by
A. dividing population by real GDP. B. subtracting population from real GDP. C. dividing real GDP by population. D. adding real GDP and population.
In the consumption function, suppose a = 60, c = 0.75, Y = 3000, and T = 800. Consumption expenditure is
A) 2910. B) 2245. C) 1710. D) 1590. E) 1510.