Explain what an entrepreneur is and its function.
What will be an ideal response?
Ques. 2What is the relationship between marginal product and average product?
What will be an ideal response?
Ques. 3In an unregulated competitive market, the presence of marginal external benefit from a good or service results in overproduction.
Indicate whether the statement is true or false
Ques. 4Assume that for whatever reason there is a manufacturing firm exhibits a constant marginal product of labor over a certain range of production.
Armed with only this information what would you be able to say about the average product and total product of labor curves of this firm.
Ques. 5What two things does the level of total variable costs depend on?
What will be an ideal response?
Ques. 6Why will a profit-maximizing, single-price monopolist NOT produce the amount of output that maximizes its total revenue?
What will be an ideal response?
Ques. 7Define what a firm is and its role in the market.
What will be an ideal response?
Ques. 8If marginal product is decreasing what can we say about what is happening to average product? Explain.
What will be an ideal response?
Ques. 9In an unregulated competitive market, the presence of marginal external benefit from a good or service results in less than the efficient quantity being produced.
Indicate whether the statement is true or false
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