Xavier produces and sells tomatoes in a purely competitive market. This implies that Xavier's marginal revenue from an extra unit of tomatoes is always equal to the:

The term "depreciation" in the national income accounts refers to

a. the adjustment of GDP for inflation. b. plant and equipment "used up" in producing current output. c. citizenship differences among income recipients. d. government transfer payments minus tax revenues.

Compared to the long run, consumers typically ____ to price changes in the short run

a. are very responsive b. are more demand sensitive c. are less demand sensitive d. do not respond at all e. overreact