If a monopolist knows its price elasticity of demand is greater than one, then a(n) _____ in price will _____ total revenue.
a. decrease; increase
b. increase; not change
c. increase; increase
d. decrease; decrease
a. decrease; increase
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If a firm's managers inappropriately decide to operate where total revenue is maximized, they will continue to increase output
a. as long as marginal revenue exceeds marginal cost b. as long as marginal cost exceeds marginal revenue c. as long as the total revenue curve is above zero d. as long as the marginal revenue curve is above the horizontal axis e. until the total revenue curve intersects the total cost curve
Over the period from 1950 to 2010, which country experienced the fastest average annual growth rate of real GDP per person?
A. United States B. China C. Japan D. Canada
Suppose that Gigantic Company is increasing in size. As Gigantic Company grows, coordination of work teams is becoming more difficult because of increased bureaucracy. It is likely that continued growth will result in:
A. economies of scale. B. Gigantic Company achieving the minimum efficient scale of production. C. diseconomies of scale. D. increasing marginal returns.
The resource curse is when:
A. a nation only has an inherent comparative advantage for one resource. B. the discovery of a resource in a nation causes its currency to appreciate and thus causes the nation to lose comparative advantages in other sectors. C. a nation only has a transferrable comparative advantage for one resource. D. a nation has neither an inherent nor a transferrable comparative advantage for any resource.