Because private firms cannot make money pricing at marginal cost for collective consumption goods, government must produce collective consumption goods for them to exist
a. True b. False
b
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"Dumping" means destroying goods to prevent driving down the price
a. True b. False Indicate whether the statement is true or false
An increase in the demand for a good that is produced by many firms will
A. increase all of their respective marginal cost curves. B. increase all of their respective marginal revenue curves. C. decrease all of their respective marginal revenue curves. D. decrease all of their respective marginal cost curves.
To achieve long-run equilibrium in an economy with a recessionary gap, without the use of stabilization policy, the inflation rate must:
A. not change. B. increase. C. decrease. D. either increase or decrease depending on the relative shifts of AD and AS.
Intermediate goods and services are ________ production and ________ counted in GDP.
A. used up in the process of; are not B. used up in the process of; are C. the end products of; are D. the end products of; are not