Refer to Figure 13-11. The firm represented in the diagram
A) makes zero economic profit.
B) should exit the industry.
C) makes zero accounting profit.
D) should expand its output to take advantage of economies of scale.
A
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As the dollar exchange rate, e, increases, the quantity of dollars supplied in the foreign exchange market ________, and the quantity of dollars demanded in the foreign exchange market ________.
A. decreases; increases B. increases; increases C. decreases; decreases D. increases; decreases
Which market is most likely to be considered a competitive market?
A. Pharmaceuticals B. Diamonds C. Cable TV D. Phone Apps
The vertical intercept of the consumption function equals ________ and the slope equals ________.
A. autonomous consumption; the MPC. B. the planned component of consumption; the unplanned component of consumption. C. the unplanned component of consumption; the planned component of consumption. D. the MPC; autonomous consumption.
The net exports effect is the ____ relationship between net exports and the price level of an economy
a. inverse b. independent c. direct d. linear