Due to the impact of diminishing marginal returns, all costs are fixed in the long run

a. True
b. False
Indicate whether the statement is true or false


False

Economics

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A rightward shift of the labor demand curve during a recession due to a government policy leads to ________ if wages are flexible

A) a fall in prices B) a decrease in real wages C) a fall in interest rates D) an increase in employment

Economics

The short-run average total cost curve of a monopolistically competitive firm that incurs a loss will lie below the profit-maximizing price–output combination

a. True b. False Indicate whether the statement is true or false

Economics

Which country will most likely have the fastest economic growth?

a. Country A does not offer public education for children over the age of 10. b. Country B’s government encourages citizens to save and invest a portion of their incomes. c. Country C frequently goes to war with its neighbors in the hopes of acquiring more land. d. Country D’s government has not repaired any of its roads in over a decade.

Economics

The figure above shows cost curves for a perfectly competitive firm. A profit-maximizing firm will break even when market price is:

A. $1.50 B. $0.60 C. $0.80 D. $1.60

Economics