In pure competition, price is determined where the industry:
A. average total cost equals total variable costs.
B. total cost is greater than total revenue.
C. demand and supply curves intersect.
D. demand intersects the firm's marginal cost curve.
Answer: C
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Federal Reserve districts
A) conform to state boundaries. B) group together economically similar states. C) have equal populations. D) cut across state and economic boundaries.
Externalities are unintended costs or benefits imposed on third parties. Who creates these externalities?
a. the government b. the market c. the third parties themselves d. buyers create the costs, sellers create the benefits e. the economic activity of others that affects third parties
Accountants often ignore implicit costs
a. True b. False Indicate whether the statement is true or false
What is calculated as MP x P?
a. revenue gained from the output of an additional worker b. increase in costs associated with an increase in labor c. change in output associated with a change in input d. market price (value) of the company’s total output