If foreign firms send profits back to their industrial countries from the developing countries, developing countries will have a larger deficit on their balance of payments accounts

Agave, Six Feet Under, Globe, Silk, Sotto Sotto and Zocalo are all restaurants in Atlanta. Suppose at the profit maximizing quantity, Zocalo charges $22 for each dinner entrée, and its ATC is equal to $24. What should Zocalo do?

A) Cannot determine whether Zocalo should stay open or shut down in short run, but Zocalo should go out of business in the long run. B) Produce in the short run and go out of business in the long run. C) Shut down in the short run and go out of business in the long run. D) Cannot determine whether Zocalo's should stay open or shut down in the short or long run.

Because a monopoly's demand curve is the same as the market demand curve for its product

A) the monopoly is a price taker. B) the monopoly's average total cost always falls as it increases its output. C) the monopoly's marginal revenue equals its price. D) the monopoly must lower its price to sell more of its product.