If a firm increases its output and finds that its average total cost decreases as a result, this implies that
a. marginal cost exceeds average total cost.
b. the cost of producing an additional unit of output is more than the average total cost.
c. average fixed cost is increasing.
d. average total cost exceeds marginal cost.
D
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Who among the following is considered to be in the labor force?
A) retirees B) full-time students C) discouraged workers D) unemployed workers
In the long run, price elasticities of demand are usually ____
a. less than they are in the short run because people can adjust b. the same as they are in the short run because tastes don't change c. greater than they are in the short run because prices rise over time d. less than they are in the short run because real prices fall over time e. greater than they are in the short run because consumers have time to adjust
Which of the following is a common argument against allowing a foreign firm to operate a business in a developing country?
a. The foreign firm may gain control over national resources. b. Foreign productive expertise may outdistance domestic labor skills. c. The foreign firm may reduce domestic competition. d. Technology may be transferred from industrial countries to the developing countries. e. The foreign firm may reduce dependency on domestic imports.
Refer to the graph shown. Between points C and D, marginal utility is:
A. positive, and so total utility is increasing. B. decreasing, and so total utility is falling. C. positive, and so total utility is falling. D. decreasing, and so total utility is at its maximum.