Because of a recession in Japan, net exports from the United States decrease by $10 billion. If the MPC is 0.75, how much less spending will occur in the U.S. economy in the second "round" of spending?

A monopolist is producing at an output level at which MR = $9 and MC = $8. It could increase profits

A) by increasing both output and price. B) by reducing output and by increasing price. C) by reducing both output and price. D) by increasing output and by reducing price.

Average total cost is minimized in long-run equilibrium for a monopolistically competitive firm.

Answer the following statement true (T) or false (F)