In a monopolistically competitive market, the long-run profit-maximizing price of a good is equal to its average cost of production
a. True
b. False
Indicate whether the statement is true or false
True
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Economic Profit equals accounting profit plus the cost of capital
Indicate whether the statement is true or false
Which of the following is true with regard to economic growth?
a. Real GDP could grow in a society at the same time that real per capita GDP did not b. For a given population, real GDP growth implies real per capital GDP growth. c. If the population grew at the same rate as real GDP, real per capita GDP would not change. d. All of the above are true.
Suppose that the Consumer Price Index increased from 100 to 120 between 2011 and 2012. Your nominal wages rose during the same period from $200 a week to $260. By how much did your real income rise?
a. 30 percent b. 16.7 percent c. 8.33 percent d. 12 percent
Average fixed cost is
a. the sum of variable and fixed costs b. total cost minus variable cost c. variable cost plus marginal cost d. total fixed cost per unit of output e. constant as output changes