If an economy is characterized by increasing opportunity costs, increasing the production of S by constant amounts results in a constant decrease in the production of T

If the value of the marginal product of physical capital is $30 and the price at which the good the physical capital is used to produce is sold at $15, the marginal product of the physical capital used is:

A) 2 units. B) 5 units. C) 15 units. D) 30 units.

Which of the following is a primary difference between price searchers and price takers?

a. Price searchers maximize profits, but price takers do not. b. Price searchers have to cut their price to sell additional output, but price takers do not. c. The market demand for goods produced by price searchers is downward sloping, while the market demand for goods produced by price takers is horizontal. d. Profit-maximizing price searchers will expand output to the quantity where marginal revenue equals marginal cost, but price takers will not.