Which of the following can a firm do in the long run but not in the short run?

A) decrease the size of its physical plant
B) reduce its rate of output by laying off workers
C) increase its variable costs
D) increase its use of raw materials

Answer: A

Economics

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The Public Service Company of Colorado is a natural monopoly in the transmission and distribution of electric power. As such, it will incur an economic loss if it

A) goes out of business. B) prices its services at average total cost. C) prices its services at marginal cost. D) all of the above

Economics

If Saving+Tax+Import > Investment+Government spending+Export, then _____ must fall to establish macroeconomic equilibrium

a. net exports b. gross exports c. taxes d. real GDP e. government spending

Economics