Refer to the below tables. What output and price levels will maximize the firm's profit in the short run?
Assume that the short-run cost and demand data given in the tables below confront a monopolistic competitor selling a given product and engaged in a given amount of product promotion.
A. 3 units and $45
B. 4 units and $40
C. 5 units and $35
D. 6 units and $30
B. 4 units and $40
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A Pareto optimum is a point that
A) a malevolent dictator would choose. B) a cooperative coalition of some altruistic consumers would choose. C) a cooperative coalition of some socially responsible firms would choose. D) a social planner would choose.
Supply-side economics focuses on ________
A) the positive effect of tax cuts on aggregate supply B) the impact of an increase in the rate of inflation on aggregate supply C) the impact of changes in aggregate supply on market demand D) the trade-off between aggregate demand and aggregate supply
Which of the following is used to estimate how long it will take a nation's economy to double its size for a given growth rate?
a. The rule of 70 b. The rule of Law c. Economies of scale d. Diseconomies of scale
The ABC Corporation decreases all of its inputs by 12 percent and finds that its output falls by only 8 percent. This means that initially it was producing:
A. in the range of economies of scale. B. in the range of diseconomies of scale. C. at the point of minimum efficient scale. D. where AP is less than MP.