If the income effect counteracts the substitution effect, we know that the good in question is a(n)

The use of money as a medium of exchange

I. lowers transaction costs. II. permits more specialization. A) I only B) II only C) Neither I nor II D) Both I and II

If a firm's short-run total cost curve lies above its total revenue curve at all output levels, the goal of the firm should be to

a. minimize total cost b. maximize total revenue c. minimize its loss d. minimize marginal cost e. maximize marginal revenue