If MP a /P a = MP b /P b and MRP a /P a = MRP b /P b > 1, this firm is:
A. producing its output with the least costly combination of resources but is not producing the
profit-maximizing output.
B. maximizing profits but failing to minimize costs.
C. neither maximizing profits nor minimizing costs.
D. combining resources a and b so as to minimize costs and maximize profits.
Answer: A
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Which of the following is not associated with global poverty?
A. Lack of medical care. B. Low mortality rates. C. Lack of proper clothing. D. Malnourishment.
In thinking about the criteria for an ideal voting system, unanimity means if:
A. the median in the group prefers option X to option Y, then X beats Y. B. the majority of the group prefers option X to option Y, then X beats Y. C. no one in the group prefers option X to option Y, then it must still be possible for X to beat Y. D. everyone in the group prefers option X to option Y, then X beats Y.