Recall the Application about the free-agent market for professional baseball pitchers to answer the following question(s).Recall the Application. The market for baseball players suffers from adverse selection because ________ the used car market, buyers (potential new teams) ________ goods (pitchers) that are lemons (low quality).

Refer to the above figure. We are currently producing at point c. Which of the following statements is TRUE?

A) Resources are not being efficiently utilized. B) Resources are being efficiently utilized. C) The only way to produce more of Goods X or Y is to have an increase in the amount of resources. D) The Law of Increasing Additional Cost does not hold.

When a perfectly competitive firm's demand curve lies above its average total cost curve, the firm incurs an economic loss at that level of output

a. True b. False Indicate whether the statement is true or false