The shorter the period of time being considered, the less rapidly will diminishing marginal utility ...

The shorter the period of time being considered, the less rapidly will diminishing marginal utility set in.
 a. True
  b. False
  Indicate whether the statement is true or false

QUESTION 2

If both the marginal cost and the average variable cost curves are U-shaped, at the minimum point of the average total cost curve, the marginal cost curve must be:
 a. greater than average variable cost.
  b. less than average variable cost.
 c. equal to average variable cost.
 d. at its minimum.

QUESTION 3

If the price of a company's stock is expected to fall in the future, then people holding such shares will have an incentive to get rid of them.
 a. True
  b. False
  Indicate whether the statement is true or false

QUESTION 4

Which of the following products can be sold through mass advertising?
 a. A new electrocardiogram machine to be used by medical examiners
  b. A mainframe computer installation
  c. A new health insurance policy
  d. A new brand of baby diapers

QUESTION 5

A utility-maximizing consumer always purchases a good that yields the greatest average utility per dollar of expenditure.
 a. True
  b. False
  Indicate whether the statement is true or false