A firm will purchase additional units of a resource as long as each unit's
a. marginal revenue product is greater than zero
b. marginal revenue product equals the product price
c. marginal revenue product is greater than or equal to its marginal resource cost
d. marginal revenue product is less than its marginal resource cost
e. total revenue product is greater than its marginal resource cost
C
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The duration of unemployment tends to rise when
A) business activity goes into a downturn. B) business activity starts back up after a long period of decline. C) people leave their jobs rather than lose their jobs. D) the number of entrants exceeds the number of reentrants.
If demand is unit elastic, revenue
A. and price rise and fall together. B. rises as price falls. C. falls as price rises. D. remains constant as price rises or falls.