During an economic downturn, consumers spend considerably less on goods and services. This results in layoffs that are classified as

What determines the price and the quantity produced of most goods?

a. the consumer's perception of necessity b. the interaction of supply and demand c. the quality of the goods that are produced d. the availability of substitutes for the goods

Assume that a monopoly is producing at a profit-maximizing output level. If the firm's total fixed costs decrease, the firm

A) should lower its price. B) should increase its price. C) should continue to produce at the same level. D) increase its output level.