Suppose Chris is a potter who makes mugs. His total costs depend on the number of mugs he makes each day, as shown in the table below.Number ofMugs Per DayTotal CostPer Day0$101$142$193$254$325$406$49If the market for mugs is perfectly competitive, and mugs sell for $7.50 each, then Chris should make ________ mugs per day.

Assuming compact discs and cassettes are substitute goods, a decrease in the price of cassettes will cause the demand curve for compact discs to:

a. shift to the left as consumers switch from buying discs to cassettes. b. shift to the right as consumers switch from buying discs to cassettes. c. shift to the left as producers increase cassette production and reduce disc production. d. remain unchanged since discs and cassettes are sold in separate markets.

In any monetary system, the means of payment must be the same as the unit of value

a. True b. False