The primary objective of the producer is to find the rate of output that maximizes profit.
Answer the following statement true (T) or false (F)
True
Profit isn't the only thing that motivates producers; they also may worry about social status and crave recognition. However, the principal incentive for producing goods and services is the expectation of profit.
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The tables above show the marginal costs and benefits from production of paper. If the market is perfectly competitive and unregulated, at the equilibrium level of output, the marginal external cost is
A) zero B) $10 C) $20 D) $30
Exhibit 36-1 Bond FaceValueof Bond Price ofthe Bond Annual CouponPayment A $1,000 $850 $25 B $1,000 $950 $41 C $1,000 $1,100 $52 D $1,000 $1,100 $32 E $1,000 $1,000 $50 Refer to Exhibit 36-1. The coupon rate for bond D is
A. 11 percent. B. 2.9 percent. C. 3.2 percent. D. 0.03 percent.
Capital accounts measure
a. the foreign asset holdings of a nation and that nation's asset holding abroad b. d and e c. changes in the foreign asset holdings of a nation and the difference between its exports and imports d. the difference between a nation's exports and imports e. changes in the foreign asset holdings of a nation and that nation's asset holdings abroad
When a purely competitive firm is in long-run equilibrium:
A. marginal revenue exceeds marginal cost. B. price equals marginal cost. C. total revenue exceeds total cost. D. minimum average total cost is less than the product price.