When a firm produces one unit, the variable cost is $3. When the firm produces two units, the variable cost is $6. What is the marginal cost associated with two units of production?
A) $2
B) $0.5
C) $6
D) $3
D
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Which of the following is true about a hierarchy?
a. It primarily acts as a residual claimant. b. It is a group of individuals who make decisions. c. It is an alternative to independent specialization of individual workers. d. It is a group of individuals who hold shares of the company and are entitled to dividends.
Suppose that Shen and Valerie are the only consumers of pizza slices in a particular market. The following table shows their weekly demand schedules
On the following graph, plot Shen's demand for pizza slices using the green points (triangle symbol). Next, plot Valerie's demand for pizza slices using the purple points (diamond symbol). Finally, plot the market demand for pizza slices using the blue points (circle symbol). Line segments will automatically connect the points. Remember to plot from left to right.
The significance of dead capital is that
A. it costs too much to acquire. B. it replaces too many workers. C. its fixed cost is too high. D. it is difficult to allocate to its most efficient use.
The total costs of regulation
A. are paid entirely by the regulated industries. B. are much higher than just the explicit government outlays to fund the administration of various regulations. C. include increased taxes and increased prices of the products being regulated. D. are paid entirely by the consumers of regulated industries.