Refer to the graph shown, which depicts a perfectly competitive firm. To maximize profit, the firm represented will produce:
A. 40 units of output.
B. 90 units of output.
C. 130 units of output.
D. 110 units of output.
Answer: D
You might also like to view...
A relative price is
A) the number of dollars that must be given up in exchange for the good. B) also called the money price. C) not an opportunity cost. D) the ratio of one price to another price.
Suppose when real disposable income is $5000, planned real consumption is $4000. When real disposable income increases to $6000, planned real saving increases by $500. The new planned real consumption expenditures is
A) $5,000. B) $4,500. C) $6,000. D) $3,500.
The price of milk increases dramatically, causing a 0.5 percent increase in the CPI. The price increase will most likely cause the GDP deflator to increase by
a. more than 0.5 percent. b. less than 0.5 percent. c. 0.5 percent. d. None of the above is correct; this particular price increase will not affect the GDP deflator.
The payroll tax system is a proportional tax for all income earners.
Answer the following statement true (T) or false (F)