× Didn't find what you were looking for? Ask a question
Top Posters
Since Sunday
5
o
5
4
m
4
b
4
x
4
a
4
l
4
t
4
S
4
m
3
s
3
New Topic  
reachmegha.in reachmegha.in
wrote...
Posts: 331
Rep: 0 0
6 years ago
Assume a perfectly competitive firm sells its output for 150 per unit. At its current 2,000 units of output, marginal cost is 140 and increasing, and average variable cost is 143 . Assuming it wants to maximize its profits, it should:
 a. increase output.
 b. decrease output, but not shut down.
  c. maintain its current output rate.
 d. shut down.

QUESTION 2

Government policies designed to change the distribution of income to one that is more equal involve taking from the rich and giving to the poor.
 a. True
  b. False
  Indicate whether the statement is true or false

QUESTION 3

An increase in the cost of lumbering activities will:
 a. increase the quantity of wood supplied to the furniture market.
  b. decrease the quantity of wood supplied to the furniture market.
  c. decrease the supply of wood to the furniture market.
  d. increase the supply of wood to the furniture market.

QUESTION 4

Firms under perfect competition produce:
 a. homogeneous products.
  b. unique products.
  c. either standardized or differentiated products.
  d. differentiated products.
  e. antique products.

QUESTION 5

Assume that a firm's total revenue is less than its total cost for the level of output it is producing. In the short run, this firm should:
 a. expand output.
 b. contract output.
 c. shut down.
 d. There is not enough information to answer the question.

QUESTION 6

A proportional tax is a tax whose rate increases as the tax base widens.
 a. True
  b. False
  Indicate whether the statement is true or false

QUESTION 7

The area above the supply curve and below the market price represents:
 a. the consumer surplus
  b. the producer surplus.
  c. the deadweight loss of the producer.
  d. the deadweight loss of the consumer.
Read 50 times
3 Replies
Replies
Answer verified by a subject expert
ChristopherRenChristopherRen
wrote...
Posts: 351
Rep: 3 0
6 years ago
Sign in or Sign up in seconds to unlock everything for free
1

Related Topics

reachmegha.in Author
wrote...
6 years ago
All are correct
wrote...
6 years ago
Happy to help
New Topic      
Explore
Post your homework questions and get free online help from our incredible volunteers
  1200 People Browsing
Related Images
  
 117
  
 131
  
 3941
Your Opinion
Which 'study break' activity do you find most distracting?
Votes: 741