If a perfectly competitive firm's marginal revenue is greater than its marginal cost, as it increases its output, its profit ________ and the price it can charge for its product ________
A) increases; does not change
B) decreases; falls
C) increases; falls
D) decreases; rises
E) decreases; does not change
A
Economics
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Demand for inputs is a derived demand because
A. it is derived from the need for income. B. it corresponds to the derived supply of the inputs. C. producers want the input to produce the finished good. D. it is downward sloping.
Economics
College education provides higher income for the individual but also a more productive and more educated person who will contribute to society in many ways. Higher education is an example of:
A. a nonexcludable service. B. a negative externality. C. adverse selection. D. a positive externality.
Economics