Refer to the diagram. If this industry is comprised of only one seller, the profit-maximizing price and quantity will be:
A. P 3 and Q 3 .
B. P 1 and Q 3 .
C. P 2 and Q 2 .
D. indeterminate on the basis of the information given.
A. P 3 and Q 3 .
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Refer to the above figure. Which of the following points indicates an inefficient use of resources?
A) a B) d C) e D) More information is needed to answer the question.
An increase in the interest rate causes a decrease in the future value of $1,000 that you have in a bank account today
a. True b. False Indicate whether the statement is true or false
When a firm experiences diminishing marginal product, what is the shape of the curve that represents the value of the marginal product of labor?
a. U-shaped b. vertical c. downward sloping d. upward sloping
One reason stagflation is difficult to recover from is because:
A. less output requires less inputs to be hired. B. prices tend to adjust more quickly downward than upward. C. wages are sticky downward. D. input prices increase with output prices.