OC userin EconomicsΒ·16 Dec 201780) Suppose instead that the government uses "average cost pricing" regulation. Under this system, output will equal and the firm will earn profits equal to A) 40; zero B) 90; + $270 C) 70; - $140 D) 90; zero E) 70; zero
OC userin EconomicsΒ·16 Dec 20173) A constant marginal rate of substitution between two goods implies A) the goods are imperfect substitutes. B) the goods are both inferior. one good is normal and one good is inferior. D) the goods are perfect substitutes. E) the goods are perfect complements.
OC userin EconomicsΒ·16 Dec 2017uwu. 25. What is the deadweight loss associated with the private market equilibrium? (a) K + L. (b) I + J. (C) F + K. (d) x + Y.
OC userin EconomicsΒ·16 Dec 201716) The marginal benefit curve for a good A) is upward-sloping. B) shows the benefit a firm receives from producing one more unit of that good. C) shows the most a consumer is willing to pay for one more unit of that good. D) is bowed outward. E) none of the above.
OC userin EconomicsΒ·15 Dec 201778) Given monopolistic competition, the situation depicted in the diagram A) could be a short run equilibrium, but is not a long run equilibrium. B) is not a short run equilibrium, but could be a long run equilibrium. C) could be neither a short run equilibrium nor a long run equilibrium. D) could be both a short run equilibrium and a long run equilibrium, E) is both a short run equilibrium and a long run equilibrium.
OC userin EconomicsΒ·15 Dec 20173. Suppose that the demand for roses increases from 500 to 600 stems when income rises from $10,000 to $20,000. The income elasticity of roses is: a. 0.27 and roses are normal goods. b. 3.67 and roses are normal goods. c.-3.67 and roses are inferior goods. d. +0.27 and roses are inferior goods. e. 0.02 and roses are inferior goods.
OC userin EconomicsΒ·15 Dec 201745) According to the "big tradeoff," A) efficiency requires income transfers. B) property rights and voluntary exchange insure equality of opportunity. C) a more equally shared pie results in a larger pie. D) income transfers reduce efficiency. E) income transfers should make the poorest person as well off as possible.
OC userin EconomicsΒ·14 Dec 201717) Which one of the following correctly describes how price adjustment eliminates a surplus? A) As the price rises, the quantity demanded increases and the quantity supplied decreases. B) As the price falls, the quantity demanded decreases and the quantity supplied increases. C) As the price rises, the quantity demanded decreases and the quantity supplied increases. D) As the price falls, the quantity demanded increases and the quantity supplied decreases. E) As the price falls, the demand for substitutes decreases, which eliminates the surplus.
OC userin EconomicsΒ·14 Dec 201717. Greater inequality of outcomes can lead to more wealth creation A. but only if the additional wealth created is shared equally B. because it can motivate hard work and investment C. because it motivates lobbying against bad policy decisions D. All of the above
OC userin EconomicsΒ·13 Dec 201713) When the marginal product of labour is greater than the average product of labour, A) the marginal product of labour is increasing. B) the total product curve is negatively sloped. the firm is experiencing diminishing marginal returns. D) the average product of labour is increasing. E) the firm is experiencing constant returns.
OC userin EconomicsΒ·13 Dec 2017Ise the figure below to answer the following question. mwan 1950 1960 1970 1980 Figure 1.4 13) β 13) Refer to Figure A1.4. The behaviour of x over time is best characterized as exhibiting A) an upward trend and decreasing variability. B) a constant trend and increasing variability. C) a downward trend and increasing variability. D) a downward trend and decreasing variability. E) an upward trend and increasing variability.
OC userin EconomicsΒ·14 Dec 201729. A firm shuts down if price is A) above minimum average variable cost. B) below minimum average variable cost. C) above minimum average fixed cost. D) less than marginal cost below average total cost.
OC userin EconomicsΒ·14 Dec 201713) In general, if country A is accumulating capital at a faster rate than country B, then country A A) will soon have a comparative advantage in the production of most goods. B) is using a larger proportion of resources to produce consumption goods. C) will have a production possibilities frontier that is shifting out faster than country B's. D) will have a higher rate of inflation than country B. E) will have more unemployment than country B.
OC userin EconomicsΒ·14 Dec 201713) If the quantity of textbooks supplied is 10,000 per year and the quantity of textbooks demanded is 8,000 per year, there is a in the market and the price will A) surplus; rise B) shortage, rise C) surplus; fall D) shortage; fall E) surplus; either rise or fall depending on whether supply increases to meet the surplus
OC userin EconomicsΒ·15 Dec 2017Use the table below to answer the following questions. Table 11.3.1 Labour Output TFC | TVC TαΊΎ. (workers per (teapots per (dollars per (dollars per (dollars per day) day) day) 20 45 70 95 100 125 145 14) Refer to Table 11.3.1, which gives Tania's total cost schedule. The average fixed cost of producing 9 teapots per day is A) $1.54. B) $10.00. $1.25. D) $1.11. E) $2.22.