If the world price of a good is equal to its no-trade equilibrium price, the country will import more of the good from other nations

Which of the following is true?

A) Government intervention in the form of direct regulation does not involve any cost. B) The opportunity cost of government work is the tax imposed on the society. C) The allocation of time and talent of individuals to bureaucracy is an important cost of government. D) The larger the size of the bureaucracy, the higher is its efficiency.

At the current level of output, a firm's marginal cost equals 16 and marginal revenue equals 10. The firm

A) is producing the profit-maximizing amount. B) should produce more. C) should produce less. D) Not enough information.