The major shortcoming of a barter economy is

A) that money loses value from inflation.
B) that goods and services are not traded.
C) the requirement of specialization and exchange.
D) the requirement of a double coincidence of wants.

D

Economics

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Refer to Figure 11-12. Which of the following statements about the input combinations shown in the diagram is false?

A) The firm produces a lower output level when it uses input combination d compared to input combination a. B) The firm incurs the same total cost when it uses input combination a or c to produce a given quantity of output. C) The firm produces the same output level when it uses input combination a or c. D) The firm produces a higher output level when it uses input combination b compared to input combination a.

Economics

A monopolistically competitive firm will:

a. maximize profits by producing where MR = MC. b. not likely earn an economic profit in the long run. c. shut down if price is less than average variable cost. d. all of these.

Economics