Which of the following is never true for a sales revenue maximizer with an upward-sloping supply curve?
a. MR = 0
b. MR = MC
c. Economic profits are positive.
d. P = MC
b
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Refer to Scenario 17-1. Following the passage of comparable worth legislation, Unity College responds by placing salaries for all assistant professors at $80,000. Which of the following is the result of the legislation?
A) The demand for English professors decreases; the market for business professors is not affected. B) There will be a surplus in the market for English professors and the market for business professors will not be affected. C) The supply of English professors increases; the market for business professors is not affected. D) There will be a surplus in the market for English professors and a shortage in the market for business professors.
Refer to Figure 7.1. At output level Q2
A) average fixed cost is increasing. B) average variable cost equals average fixed cost. C) marginal cost is negative. D) average total cost is negative. E) none of the above