If fixed cost is $5,000, and, at an output of 3 variable cost is $4,000, how much is average total cost at an output of 3?
A. $1,333.33
B. $3,000
C. $4,500
D. $9,000
B. $3,000
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Demand for a good is said to be inelastic if the quantity demanded increases slightly when the price falls by a large amount
a. True b. False Indicate whether the statement is true or false
Which of the following is a factor of production for the Little Biscuit Bread Company?
A. Flour. B. Productivity. C. Bread. D. Money.
The structural deficit can be defined as
A. the deficit that is structurally obstructing economic recovery to reach level of high employment. B. a hypothetical construct that estimates the deficit, given current tax rates and expenditure policies, if the economy were operating at some fixed high-employment level. C. the deficit necessary to restructure the economy and reach a desired high-employment level. D. the deficit that would prevail if fiscal policy were structured differently in order to reach a desired high-employment level.
The term "stagflation" is used to define an economic situation where there are adverse supply shocks which cause a fall in output but with increasing price level.
Answer the following statement true (T) or false (F)