If a perfectly competitive firm's total revenue is less than its total variable cost, the firm
A) should continue to produce and increase its demand.
B) should stop production by shutting down temporarily.
C) should raise its price above its average variable cost.
D) should adopt new technology in order to lower its costs of production.
B
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The United States imports t-shirts from Asia. As a result, U.S. consumers pay ________ otherwise and Asian producers receive ________ otherwise
A) a higher price than; a higher price than B) a higher price than; a lower price than C) a lower price than; a higher price than D) a lower price than; a lower price than E) the same price as; the same price as
Suppose the equilibrium price of good X is $25 and the equilibrium quantity is 124 units. If the price of good X is $2:
What will be an ideal response?
Which of the following factors will help the United States regain comparative advantages in industries in which it has lost comparative advantages?
A. The value of the U.S. dollar rises. B. The United States imports more goods. C. Wages in the United States rise. D. The value of the U.S. dollar falls.
A time-series graph displays the price of gold. The slope of the line is negative for periods when the
A) price of gold is low and not changing. B) price of gold is rising. C) quantity of gold is falling. D) price of gold fluctuates. E) price of gold is falling.