If marginal cost is below average cost, marginal cost must be rising.
Answer the following statement true (T) or false (F)
False
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The Tokyo Round of the GATT negotiations was notable because it was the first round
A) that included Japan. B) that included textiles and apparel. C) to begin establishing rules on subsidies. D) to begin discussions of exchange rates. E) to limit the tariffs of the United States.
the demand for ethanol is affected by the following factors (pick the best of the choices):
a) the price of corn (an input to ethanol production) b) the number of ethanol plants that produce ethanol c) a change in the technology of ethanol production d) a new regulation mandating increased use of ethanol mixed gasoline e) all of the above
A monopolist wishing to increase its profit has just discovered that lowering its price and selling more output yielded the desired result. Profit increased. Based on this, we can conclude that the cost of the additional production is
A. greater than the revenue from the additional production. B. less than the revenue from the additional production. C. precisely equal to the revenue from the additional production. D. there is no way to answer this because you have not given us the marginal revenue and marginal cost data.
In the diagram above, which of the following could cause a movement from point E' to point E?
A. Japanese residents' incomes rise, so they increase their purchases of U.S. goods. B. The dollar depreciates, inducing Japanese residents to buy more U.S. goods. C. The dollar depreciates, inducing U.S. residents to buy more Japanese goods. D. U.S. residents' incomes rise, so they increase their purchases of Japanese goods.