Some firms have an incentive to advertise because they sell a
a. homogeneous product and charge a price equal to marginal cost.
b. homogeneous product and charge a price above marginal cost.
c. differentiated product and charge a price equal to marginal cost.
d. differentiated product and charge a price above marginal cost.
d
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Which of the following is an effect of a minimum wage law that establishes a ceiling wage below the current market clearing wage?
A) Surplus labor, or unemployment B) A decrease in the market clearing wage C) A decrease in the quantity of labor supplied D) An increase in the quantity of labor supplied
Which of the following is a difference between corporations and partnerships?
a. Partnerships are subject to double taxation; corporations are not. b. With partnerships, ownership rights are divisible and easily transferable; this is not true for corporations. c. Corporate owners face limited liability; owners of partnerships do not. d. Corporations always have more owners than partnerships.