An information product is a product for which
A) the first item is produced inexpensively but additional units are more costly to produce.
B) the first unit is very costly to make but additional units are less costly to produce.
C) the marginal cost first falls and then rises but the average total cost rises throughout its range.
D) the average fixed cost first falls and then rises, but the average total cost falls throughout its range.
B
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Economies of scale refer to
a. costs rising as the scale of production increases. b. costs falling as the scale of production increases. c. output rising as the level of inputs rises. d. the marginal product of labor diminishes as the quantity of labor increases.
Tariff rates on products imported into the United States:
a. were prohibited by the Constitution. b. have dropped substantially over the past 50 years. c. reached an all time high in 1996. d. have steadily increased since 1920. e. have never played a big part in U.S. trade policy.