If Dell Computer finds that its marginal cost exceeds its marginal revenue on a model of laptop, then to maximize profit, it will
a. increase output if it is a price searcher, but this may not be proper if it is a price taker.
b. increase output if it is a price taker, but this may not be proper if it is a price searcher.
c. decrease output, regardless of whether it is a price taker or a price searcher.
d. increase output, regardless of whether it is a price taker or a price searcher.
C
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If the price of a product is above equilibrium, what forces it down?
What will be an ideal response?
The most common tool of analysis in international finance for measuring the average value of a currency relative to several other currencies is
A) bilateral exchange rates. B) cross exchange rates. C) exchange rate indexes. D) All of above.
Fiscal policy involves
A. changing the money supply to change aggregate demand. B. printing money, borrowing, or taxing to cover government spending. C. changing government spending or taxes to increase aggregate demand. D. state and local authorities, not the federal government.
When Dr. Goldfinger decides on the companies in which he will invest, a ________ issue is being addressed
A) microeconomic B) macroeconomic C) positive economic D) normative economic