What is the largest possible loss that is consistent with a firm producing in a perfectly competitive market in long-run competitive equilibrium?
A. an amount equal to price minus average variable cost
B. an amount equal to total variable
C. zero
D. an amount equal to total fixed cost
Answer: C
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Examples of incentive pay include
a. commission sales b. providing onsite parking for employees c. cleaning the worksite with weekly janitorial service d. offering a certain number of sick days
The Celler-Kefauver Act was passed because the Clayton Act had not been effective against mergers
a. True b. False Indicate whether the statement is true or false
The federal government decides to impose a 15% excise tax on luxury yachts. An economist would suggest that:
a. this is an effective way to indirectly tax the wealthy b. the tax incidence will fall largely on those who buy luxury yachts c. if prospective buyers decide to purchase other luxury goods instead, the tax incidence will largely fall on those who build and sell luxury yachts d. the price of luxury yachts will rise by 15%
The marginal physical product of labor is
A) The additional revenue received by the firm by selling the out of one additional worker. B) The output which labor could produce without other factors of production. C) The amount of extra output that is produced when one extra worker is added and other factors of production are held constant. D) The amount of extra output that is produced when one worker is added and other factors of production are increased proportionally.