What is a positive effect of advertising?
A. It can reduce long-run average total cost by promoting economies of scale.
B. It promotes brand loyalty and economic concentration in industry.
C. It is designed to persuade rather than inform consumers.
D. It reduces economic efficiency in the economy.
Answer: A
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The various ways that vertical relationships can evade regulation include
a. tying the sale of a regulated good to a customer's choice of an unregulated good b. bundling regulated and unregulated goods c. preventing the exclusion of rival unregulated goods d. insuring tax rates are uniform across jurisdictions
All decisions involve opportunity cost
a. True b. False Indicate whether the statement is true or false
The primary value of data for real GDP lies in its ability to
What will be an ideal response?
A firm in a perfectly competitive industry produces its profit-maximizing quantity, 40 units. Industry price is $3, total fixed costs are $45, and total variable costs are $60. The firm's economic profit is
A. $15. B. $30. C. $35. D. $60.