Assume that at a given output a monopolist's marginal revenue is $25 and its marginal cost is $18. If the monopolist increases output, then
A. price, marginal cost, and total profit will fall.
B. price will fall, marginal cost will rise, and total profit will rise.
C. price will rise, marginal cost will fall, and total profit will rise.
D. price, marginal cost, and total profit will rise.
B. price will fall, marginal cost will rise, and total profit will rise.
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The state of Georgia offers free college tuition to high school students with a "B" average. In 2007, the state raised the requirement so that fewer students qualified for the scholarship
At the same time, Georgia increased state spending on health care. Suppose that college education is on the vertical axis and health care is on the horizontal axis of a PPF. These changes A) are example of a tradeoff. B) are an example of incentives. C) will cause a shift out of the PPF. D) will cause a shift in the of the PPF.
From the point of view of a particular country, capital inflows are:
A. purchases of domestic goods or services by foreigners. B. purchases of foreign goods or services by domestic households or firms. C. purchases of domestic assets by foreigners. D. purchases of foreign assets by domestic households or firms.