The demand curve and marginal revenue curve for red rubber balls are given as follows:
Q = 16 - P MR = 16 - 2Q
What level of output maximizes profit?
A) 0
B) 4
C) 5.5
D) 6
E) B, C and D all maximize profit.
D
Economics
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Refer to Figure 10.1. If two lights are installed, the people who were responsible for the light being installed each receive a payoff of
A) 2. B) 4. C) 6. D) 8.
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An unexpected increase in the money supply will tend to cause
A) an increase in stock prices. B) a reduction in stock prices. C) no change in stock prices. D) an ambiguous effect on stock prices.
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