You are an analyst with a perfectly competitive firm that makes DRAM memory chips. You must manufacture the chips before you know what the demand will be. If demand turns out to be high, then producing where E[MR] = MC rather than where MRH = MC lowers your profit by an amount equal to ________.

Which economic question depends on the incomes that people earn and the prices they pay for goods and services?

A) Why? B) How? C) For whom? D) What? E) Where?

Refer to the scenario above. Suppose the decision to levy a tax on emission of greenhouse gases costs 500 utils in present value and that the discount weight attached to the future benefit is 1/17

In this case, the net benefit earned by the people is: A) -300 utils. B) -441.18 utils. C) 333.65 utils. D) 420 utils.