A long run supply curve:
a. will rise if diminishing returns are encountered.
b. will rise if diseconomies of scale are encountered.
c. assumes that all resources are variable

Refer to Figure 4-3. What is the total amount that Kendra is willing to pay for 3 ice cream cones?

A) $2.50 B) $7.50 C) $9.00 D) $13.50

If the MPS is 0.1 and the income tax rate is 0.33 the multiplier, k, is approximately

A) 2.5. B) 2.0. C) 10. D) 3.