If the price were $25, this firm would _______ in the short run and _______ in the long run.
A. shut down; stay in business
B. shut down; go out of business
C. operate; stay in business
D. operate; go out of business
B. shut down; go out of business
You might also like to view...
The Fed greatly increased the monetary base in 2009 and 2010 by purchasing assets in an attempt to boost the economy, while making it known that they intended on selling these assets once the economy showed signs of stability, and at the same time
keep a watchful eye on possible inflation. The Fed's inflation expectations would most likely be considered as ________, and the Fed was able to increase the monetary base without causing expected inflation to increase because their intentions and statements were generally considered ________. A) adaptive; not credible B) adaptive; credible C) rational; not credible D) rational; credible
Refer to Figure 9.3. If the government establishes a price ceiling of $1.00, producer surplus will
A) fall by $150. B) fall by $300. C) remain the same. D) rise by $150. E) rise by $300.
In 2012, the U.S. minimum wage according to federal law was
a. $4.25 per hour. b. $5.15 per hour. c. $5.75 per hour. d. $7.25 per hour.
Other things the same, a decrease in the U.S. real interest rate induces
a. Americans to buy more foreign assets, which increases U.S. net capital outflow. b. Americans to buy more foreign assets, which reduces U.S. net capital outflow. c. foreigners to buy more U.S. assets, which reduces U.S. net capital outflow. d. foreigners to buy more U.S. assets, which increases U.S. net capital outflow.