In a cartel,
a. all firms produce the same amount of output and earn the same profit
b. all firms produce the same amount of output but earn different amounts of profit because their costs differ
c. firms produce different amounts of output but earn the same profit
d. firms with higher average cost produce more so that all firms earn the same profit
e. firms with lower average cost often earn higher profits
E
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Which of the following is an example of a product that is made available through public provision?
i. local police protection ii. public schools iii. local fire department A) i only B) i and ii C) iii only D) i and iii E) i, ii, and iii
Say's Law is the idea that
a. in the long run, the economy reaches full employment automatically b. the aggregate production function, along with the labor market, determines the economy's level of output c. total output will always exceed total spending d. whenever a good or service is produced, an equal amount of income is created e. markets always clear