In perfect competition, at the firm's profit maximizing short run output, which of the following is true?
a. Marginal revenue equals marginal cost
b. Price equals marginal cost.
c. It could be earning either economic profits or losses.
d. All of the above are true.
d
Economics
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The higher the number of people who have access to e-mail, the more valuable it is to everyone. This is an example of a(n) ________
A) moral hazard B) adverse selection C) network externality D) negative externality
Economics
Congress is debating whether to raise taxes by $100 billion or decrease spending by $100 billion in order to eliminate a budget deficit. Which action will have the larger effect on equilibrium GDP?
a. the increase in taxes b. the decrease in spending c. the effects will be equal d. not possible to determine without knowing the multiplier
Economics