If a firm hires a resource in a perfectly competitive resource market,
a. it must also be a price taker in the product market
b. it must also be a monopolist in the product market
c. it faces a horizontal marginal resource cost curve
d. it faces an upward-sloping marginal resource cost curve
e. it faces a downward-sloping marginal resource cost curve
Question 2
Education confers positive externalities because
a. some education is done outside the market (i.e., in public schools)
b. curricula are regulated by the government, even in private schools
c. an educated person consuming education gains many benefits he or she did not expect when the process started
d. an educated person who has consumed education usually behaves in a way that benefits others
e. education gives benefits to individuals in excess of the costs they pay to get it
Firm handshake
U.S. Subsurface Coal Mining: Output, Price, and Output per Worker-Hour, 1949–1994
Stock Market Question
The net price of an article is $79.84. What is the list price if a discount of 23% was allowed?
Competitive firms and maximization
Suppose the market supply curve is p = 5Q. If price increases from 10 to 15, the change in ...