In long-run equilibrium, monopolistically competitive firms produce where:
A. marginal cost is equal to price.
B. marginal revenue is equal to price.
C. marginal revenue is greater than marginal cost.
D. average total cost is equal to price.
Answer: D
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If U.S. prices increase relative to the rest of the world, we would expect:
A. net exports to increase. B. net exports to decrease. C. net exports to be unaffected. D. government spending to increase.
Which of the following is most consistent with the basic postulate of economics: changes in incentives exert a predictable impact on human behavior?
What will be an ideal response?
The initial dollars spent to eliminate pollution are most likely ______.
a. all that are needed b. completely wasted c. the least efficient d. the most efficient
Which of the following statements is true about revenue?
A) Revenue is calculated by dividing the price per unit by the number of units sold. B) The terms "revenue" and "profit" can be used interchangeably. C) A firm's revenue will increase as its costs increase. D) Revenue is the total amount received for selling a good or service.