If total utility increases at a decreasing rate as a consumer consumes more coffee, then marginal utility must

A) remains constant.
B) increase also.
C) decrease.
D) be negative.

Answer: C

Economics

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If the marginal product of the second worker hired by a firm is 14 units and the price of a unit of output is $7 regardless of the quantity of output sold, then the marginal revenue product of the second worker is

a. $98 b. $14 c. $7 d. $2 e. $21

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Explain the linkages in the causal chain when the Fed conducts a contractionary monetary policy. What will be the ultimate effect on GDP?

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