Question
In: Economics
Which statement best describes the situation when marginal benefit exceeds marginal cost? A. The quantity is...
Which statement best describes the situation when marginal
benefit exceeds marginal cost?
A. The quantity is below equilibrium and output should be
increased.
B. The quantity is below equilibrium and output should be
decreased.
C. The quantity is above equilibrium and output should be
decreased.
D. The quantity is above equilibrium and output should be
increased.
When the supply curve for a product is horizontal, what is the
elasticity of supply?
A. greater than one, but less than infinity
B. equal to zero
C. equal to infinity
D. equal to one
To reach consumer equilibrium, which of the following
consumption choices must be made?
A. The total utility per dollar spent on Good X must equal the
total utility per dollar spent on Good Y.
B. The total utility of Good X must equal the total utility of
Good Y.
C. The marginal utility per dollar spent on Good X must equal
the marginal utility per dollar spent on Good Y.
D. The marginal utility of Good X must equal the marginal
utility of Good Y.
What is the additional satisfaction that an individual gets
from consuming one more unit of a product called?
A. aggregate gains
B. net gains
C. marginal utility
D. total utility
Solutions
Rahul Sunny answered 8 months agoRelated Solutions
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B)each marginal unit adds profit by bringing in more revenue
than its cost
C)the firm's perceived demand will shift to the left
D)the excess profit would attract additional competition
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5). Which of the
following best describes the relationship between supply curve and
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short run?
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part.
b. The marginal cost
curve and supply curve are the same above the average total cost
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c. The supply curve is
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QUESTION 6 TRUE/FALSE. EXPLAIN. All actions in which the marginal costs exceeds the marginal benefit should...
QUESTION 6
TRUE/FALSE. EXPLAIN. All actions in which the marginal
costs exceeds the marginal benefit should be
undertaken.
If a firm is experiencing decreasing marginal returns to
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rate. AND EXPLAIN
increasing; increasing
increasing; decreasing
decreasing; increasing
decreasing; decreasing
If a competitive market is producing at the efficient
quantity, all of the following are true except which one?AND
EXPLAIN
Total surplus is maximized.
Deadweight loss is equal to zero.
The efficient...
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as long as its marginal benefit exceeds its marginal cost. Choose
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The Widget Factory makes and sells widgets in a perfectly
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10 11 12 13 14 15...
The Marginal Principle states, “Increase the level of activity as long as its marginal benefit exceeds...
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as long as its marginal benefit exceeds its marginal cost. Choose
the level at which the marginal benefit equals the marginal cost.”
The Widget Factory makes and sells widgets in a perfectly
competitive market, operating in the short term. Fixed cost per
widget is $4 Labor costs is $23 per worker Widgets sell for $13
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- A statement that describes how certain decisions lead to
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