The above figure shows the market for pizza. The market is in equilibrium when new pizza firms enter the market. What point represents the most likely new price and quantity?
A) A B) B C) C D) D E) E
D
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The concept of a market is a
A. place where sellers increase their wealth. B. store. C. location where buyers and sellers meet to negotiate prices and determine quantities traded. D. group of buyers and sellers of a good or service.
A firm's minimum efficient scale is defined as
a. the output level at which LRATC first reaches its minimum level b. any output level at which LRATC is minimized c. the highest output level at which LRATC takes on its minimum value d. the output level at which the firm charges its highest price e. the lowest output level at which the firm can charge a positive price
If the borrower and lender agree to a loan at 8 percent when the inflation rate is 3 percent, then 8 percent is the ________ interest rate and 5 percent is the ________ interest rate.
A. real; relative B. nominal; real C. relative; nominal D. real; nominal
Suppose the short-run production function is q = 10 ? L. If the wage rate is $10 per unit of labor, then AFC equals
A) 0. B) 1. C) 10/q. D) It cannot be determined from the information provided.