What should a profit maximizing monopolist do if she is currently producing where MC < MR?
a. Increase output until MC = MR.
b. Decrease output until MC = MR.
c. Shut down in the long run.
d. Keep producing at this level.
e. Operate only in the short run.
a
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Which of the following shifts the aggregate supply curve rightward? i. The money wage rate rises. ii. Potential GDP increases. iii. Government expenditure on goods and services increases
A) i only B) ii only C) iii only D) ii and iii E) i, ii, and iii
Heterogeneous population
A) implies that heteroskedasticity-robust standard errors must be used. B) suggest that multiple characteristics must be used to describe the population. C) effects can be captured through interaction terms. D) refers to circumstances in which there is unobserved variation in the causal effect with the population.