A business incurs the following costs per unit: Labor $125/unit; Materials $45/unit and rent $250,000/month. If the firm produces 1,000,000 units a month, the total costs equal

The legislation that overturned the prohibition on interstate banking is

A) the McFadden Act. B) the Gramm-Leach-Bliley Act. C) the Glass-Steagall Act. D) the Riegle-Neal Act.

Suppose capital and labor are perfect substitutes resulting in a production function of q = K + L. That is, the isoquants are straight lines with a slope of -1

Derive the long-run total cost function TC = C(q) when the wage rate is w and the rental rate on capital is r.