In a perfectly competitive industry, firms seek to maximize:
A) marginal profit.
B) total revenue per unit.
C) total profit.
D) their percentage of the total market.
Answer: C) total profit.
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Liabilities are:
A. saving minus investment. B. anything of value one owns. C. the debts one owes. D. current income minus spending on current needs.
In Figure 3-3 above, equilibrium income is
A) 400. B) 640. C) 666.67. D) 1,000. E) 2,400.
Suppose there is an improvement in the technology of producing TVs and the production of TVs becomes an increasingly competitive industry. Assuming that the TV industry is initially in equilibrium, the long-run effect of this improvement is:
A. higher TV prices and greater TV production. B. lower TV prices and lower TV production. C. lower TV prices and greater TV production. D. higher TV prices and lower TV production.
Stagflation is characterized by an...
What will be an ideal response?