Refer to Table 4-6. The table above lists the marginal cost of polo shirts by Marko's, a firm that specializes in producing men's clothing. If the market price of Marko's polo shirts is $30, Marko's will produce

When demand increases so that market price increases, producer surplus increases because (1) producer surplus received by existing sellers increases, and (2) new sellers enter the market

a. True b. False Indicate whether the statement is true or false

The term opportunity cost refers to

A. The minimum price that a producer will accept for a product. B. The most a consumer is willing to exchange to get an item. C. The slope of the demand line for a consumer or slope of the supply line for the producer. D. All of the choices are correct.