If the long-run average cost curve continuously slopes upward as output rises, minimum efficient scale would be
A) zero.
B) at the midpoint of the long-run average cost curve.
C) at the rate of output associated with the smallest sized plant the firm can build.
D) nonexistent.
Answer: D
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Refer to Figure 18.1. After trade begins, ________ will specialize in the production of bicycles and ________ will specialize in the production of hang gliders
A) the United States; Canada B) the United States.; the United States C) Canada; Canada D) Canada; the United States
As the real wage increases, assuming that the substitution effect dominates, then
a. individuals move to lower indifferent curves and consume less leisure. b. individuals move to higher indifferent curves and consume less leisure. c. individuals move to higher indifferent curves and consume more leisure. d. individuals stay on the same indifferent curve and consume more leisure.