The basic RBC model produces ________ movements in the real wage, which in fact are ________ in the statistical evidence

Learning by doing will result in

A) an upward sloping long-run average cost curve. B) a larger long-run marginal cost than long-run average cost. C) a rotation in the isocost curves. D) lower long-run costs than short-run costs.

A chewing gum monopoly can sell 400,000 packages of gum for $0.10 each. If it wants to sell 500,000 packages, its price must be

a. greater than the $0.10 if it doesn't want to earn less profit b. less than the marginal revenue of the 500,000th package c. less than $0.10 d. equal to $0.10 e. none of the above makes sense