Joey's Lawncutting Service rents office space from Joey's dad for $300 per month. Joey's dad is thinking of increasing the rent to $400 per month. As a result Joey's marginal cost of cutting grass will
A) increase by $100 divided by the amount of grass cut.
B) increase by $100.
C) decrease by $100.
D) not change.
D
You might also like to view...
Operations of the Trading Desk of the Federal Reserve Bank of New York are typically conducted
A) no more often than once per week. B) within a one-hour period during each day. C) no more often than once per month. D) once a year.
Which of the following is true of an economic model? a. It is a simplified representation of a situation that includes enough of the key features to be useful. b. It is always based on a mathematical formula
c. It is a physical representation of a real world situation in a laboratory. d. It is always named after the economist who devises it.
Suppose the government ran a budget surplus in 2010 and a larger surplus in 2011 . The loanable funds model would predict that, as a result of the increase in the surplus,
a. both the government debt and interest rates increased between 2010 and 2011. b. both the government debt and interest rates decreased between 2010 and 2011. c. the government debt increased and interest rates decreased between 2010 and 2011. d. the government debt decreased and interest rates increased between 2010 and 2011.
An information product typically has
A) high total fixed costs and high marginal costs. B) low total fixed costs and low marginal costs. C) low total fixed costs and high marginal costs. D) high total fixed costs and low marginal costs.