Refer to Figure 24-3. Which of the points in the above graph are possible long-run equilibria?

Suppose capital and labor are perfect substitutes resulting in a production function of q = K + L. That is, the isoquants are straight lines with a slope of -1

Derive the long-run total cost function TC = C(q) when the wage rate is w and the rental rate on capital is r.

The appreciation of the dollar will make U.S. goods ________ to foreigners and make imports ________ for U.S. residents.

A. more expensive; more expensive B. cheaper; cheaper C. more expensive; cheaper D. cheaper; more expensive