A firm wanting to maximize profits should operate in such a way that
A) the MRP of each input is equal to or greater than its MFC.
B) MRP equal MFC in the input market but MC must exceed MR in the output market.
C) marginal revenue must be equal to the marginal revenue product.
D) none of the above.
Answer: A
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Many economists who accept the real business cycle explanations of economic fluctuations
a. believe that the sharp rise in the relative price of imported oil was the central cause of the deep recession in the United States in the mid-1970s. b. believe that the restrictive Federal Reserve monetary policy was the central cause of the deep recession in the United States in the mid-1970s. c. believe that the sharp rise in the relative price of imported oil was not the main cause of the deep recession in other industrialized nations in the mid-1970s. d. both a and c. d. None of the above
Acres of LandTanks of FertilizerTruckloads of Potatoes2002820170202105203135204152205141
Refer to Table 2.4. Increasing the tanks of fertilizer from 3 to 4 will increase the truckloads of potatoes by:
A. 152. B. 35. C. 17. D. 11.