If the marginal cost of producing a television is constant at $200, then a firm should produce this item
A) as long as the marginal benefit it receives is just equal to or greater than $200.
B) only if the marginal benefit it receives is greater than $200 plus an acceptable profit margin.
C) as long as its marginal cost does not rise.
D) until the marginal benefit it receives reaches zero.
A
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An economic ________ is a simplified version of some aspect of economic life used to analyze an economic issue
A) variable B) model C) market D) trade-off
Regarding government intervention in the economy, which of the following statements is not true?
A. Liberals tend to favor intervention. B. Conservatives are inclined to adhere to fixed rules. C. There is no guarantee that government intervention will have the desired effect. D. The effect of government actions on interest rates and spending is unknown. E. All of these responses are correct.