If you were asked to draw a graph that showed the total fixed costs (vertical axis) for various levels of output (horizontal axis), you would draw a line/curve that
a. increased with a slope equal to the average fixed cost
b. decreased with a slope equal to the average fixed cost
c. increases for a while and then decreases
d. decreases for a while and then increases
e. had a slope of zero
E
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A minimum wage policy induces an:
A) excess demand for labor. B) excess supply of labor. C) efficient market outcome. D) elastic labor supply response.
Whenever individuals think about investing money in stocks, bonds, or real estate, they must consider:
A. the opportunity cost of the risk involved. B. the trade-off between future value and expected value. C. the trade-off between risk and expected value. D. the opportunity cost of the expected value.
Since there are long waiting lists for tickets to events that regularly occur (Duke basketball, the August NASCAR race in Bristol, Tennessee, etc.), a profit-maximizing promoter might
A. lower ticket prices. B. eliminate seating. C. eliminate the event altogether. D. increase seating.
Direct foreign investment has been most critical for China's domestic consumer market
Indicate whether the statement is true or false