The optimal amount of information to acquire before making a purchase is:
A. zero.
B. as much as possible.
C. the amount such that the marginal cost of acquiring information equals the marginal benefit.
D. the amount such that the total cost of acquiring information equals the total benefit.
Answer: C
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The unemployment rate is interpreted as the percentage of the
A. able-bodied population who are not working. B. labor force that are not employed. C. workforce that have been laid off. D. adult population who are unemployed.
All of the following are considered a barrier to entry into a market EXCEPT
A) government licenses. B) persistent declining long-run average costs as output increases. C) lowering tariffs. D) governmental regulations of business conduct relating to workplace conditions.
Which two lines on a cost curve diagram intersect at the shutdown point?
a. Average variable cost and marginal revenue b. Marginal revenue and total cost c. Average variable cost and total cost d. Marginal revenue and marginal loss
Public goods are always provided by the government because private markets do not have an incentive to provide them.
Answer the following statement true (T) or false (F)