Draw a graph showing a short-run average variable cost curve, a short-run average total cost curve, and a short-run marginal cost curve. Briefly explain the shape of each curve and how they relate to each other.
What will be an ideal response?
As shown in the graph, the short-run average variable cost curve and the short-run average total cost curve have U shapes, and the short-run marginal cost curve intersects the other two at their minimum points.
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Jennifer buys a piece of costume jewelry for $33 for which she was willing to pay $42. The minimum acceptable price to the seller, Nathan, was $30. Jennifer experiences
A. a producer surplus of $9 and Nathan experiences a consumer surplus of $3. B. a producer surplus of $9 and Nathan experiences a producer surplus of $12. C. a consumer surplus of $9 and Nathan experiences a producer surplus of $3. D. a consumer surplus of $12 and Nathan experiences a producer surplus of $3.
The forward exchange rate is relevant to transactions ________
A) that require an immediate transfer of funds B) that require a future transfer of funds C) that involve a transfer of funds within a corporate entity D) crossing state lines
The monopolist faces:
a. a perfectly inelastic demand curve. b. a perfectly elastic demand curve. c. the entire market demand curve. d. all of these.
Economic growth depends on many factors including adherence to ____________ rights.
a. contractual b. business c. animal d. immigrant