When a single firm can produce output over the relevant range of demand more efficiently than two or more firms can, because of the existence of economies of scale, we have:
a. perfect competition

If the marginal propensity to consume (MPC) is 0.8, the multiplier will be

A) 1. B) 5. C) 0.8. D) 4.

The above figure shows the market for pizza. The market is in equilibrium when the cheese used to produce pizza falls in price. What point represents the most likely new price and quantity?

A) A B) B C) C D) D E) E