A firm is currently producing at a level where its MC = 10 and its MR = 5. We can conclude that this firm is
a. profit maximizing.
b. under-producing.
c. over-producing.
d. no definite conclusion can be made about the firm's level of production.
c. over-producing.
Economics
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The consumption function shows the relationship between planned real consumption spending and
A) planned real saving. B) the average propensity to consume. C) real disposable income. D) the marginal propensity to consume.
Economics
A strong Japanese yen:
A) induced Japanese auto manufacturers to increase their production of cars in Japan. B) induced Japanese auto manufacturers to shift their production of cars to the U.S. C) made Japanese exports more price competitive globally. D) had no meaningful impact on Japanese auto manufacturers.
Economics