Assume that you observe the long-run average cost curve of ACME Bookstores, a national chain
Starting from the point on the curve where output is zero and moving to the right, which of the following lists the behavior of long-run average costs in the correct sequence (that is, which will be observed first, second, etc.)?
A) economies of scale; constant returns to scale; diseconomies of scale; minimum efficient scale
B) economies of scale; minimum efficient scale; constant returns to scale; diseconomies of scale
C) minimum efficient scale; economies of scale; constant returns to scale; diseconomies of scale
D) constant returns to scale; economies of scale; minimum efficient scale; diseconomies of scale
B
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In 2012, all of fast-food chains expanded their hours of operation, with nearly 40% of all McDonald's restaurants being open 24 hours per day. This strategy was aimed at increasing sales because:
A) it was estimated that nearly one-fifth of all employed Americans worked primarily in the evening contributing to the demand for fast-food in late hours. B) it was estimated that consumers who shop at night tend to be more price sensitive. C) it was believed that longer hours of operation would lead to greater brand loyalty. D) none of the above.
The "story of agriculture" in the United States is one of
a. lesser output per acre and a greater number of farms b. smaller farm size and greater output per acre c. increase in technological adaptation on smaller farms d. governmental intervention in determining all farm prices e. technological advance, greater productivity for farms, and fewer farms
What is the present value of a payment of $2,000 to be received two years from today if the interest rate is 5%?
a. $2205 b. $2200 c. $1818.18 d. $1814.06
An argument has been made that the shrinking deficits of the 1990s were attributable to the
A. bailout of the savings and loans. B. Gulf War. C. peace dividend that resulted from the end of the Cold War. D. Cold War.