If, at the current price, there is a surplus of a good, then
a. sellers are producing more than buyers wish to buy.
b. the market must be in equilibrium.
c. the price is below the equilibrium price.
d. quantity demanded equals quantity supplied.
a
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When a product transformation curve for a firm is bowed inward, there are ________ in production
A) economies of scope B) economies of scale C) diseconomies of scope D) diseconomies of scale
A profit-maximizing firm will hire extra units of a resource when
a. marginal resource cost exceeds marginal revenue product b. marginal resource cost is equal to marginal revenue product c. marginal resource cost is less than marginal revenue product d. temporary resource price differentials exceed the marginal resource cost e. the average resource cost and marginal resource cost curves are equal
The labor ____________ curve(s) will shift _______________ if there is an increase in productivity or an increase in the demand for the final product.
a. demand; left b. supply; left c. demand; right d. supply; right
Suppose the AD curve and the SRAS curve intersect to the left of the LRAS curve. Which of the following is true?
A) The economy is in a recessionary gap. B) The economy is in an inflationary gap. C) The economy is in a long-run equilibrium. D) This situation is actually impossible.