If nations begin to expand their specialization in production for the purpose of trade,
a. consumer surplus will increase, but not total output
b. total world output will increase, and consumer surplus will increase as well.
c. total world output will increase, but consumer surplus will not increase.
d. neither total output nor consumer surplus will change.
b
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For a monopoly producing any output level greater than one, the average revenue curve:
A. lies above the demand curve. B. lies below the demand curve. C. lies above the marginal revenue curve. D. is the same as the marginal revenue curve.
Refer to the information provided in Figure 28.1 below to answer the question(s) that follow.
Figure 28.1Refer to Figure 28.1. If the productivity of workers decreases, the equilibrium wage rate
A. would increase to $15. B. would stay at $15. C. could change from $9 to $6. D. could change from $9 to $15.