The long run refers to a period of time over which:
A. the firm can change its level of output.
B. only one input is fixed.
C. production technology increases.
D. all inputs are variable.
D. all inputs are variable.
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Which of the following are parts of the business cycles?
A) peak and potential GDP B) real GDP and potential GDP C) recession and expansion D) inflation and recession
In a monopolistically competitive industry, the firms are currently making an economic profit. When this market moves to its long-run equilibrium, the firms' demand curves will have ________ and their economic profit will have ________
A) shifted leftward; decreased to zero B) shifted leftward; decreased but remain greater than zero C) shifted rightward; decreased to zero D) remained the same; decreased to zero
The above figure shows the marginal benefit and marginal cost curves for a public good. The quantity that has the best prospect of winning in an election by well-informed voters is
A) A. B) B. C) C. D) zero units supplied.
Refer to Figure 9.6. Before this policy was implemented, producer surplus was
A) $10. B) $2000. C) $4000. D) $6000. E) $12000.