Author Question: In the Baumol model, a change in fixed costs will A) increase total quantity sold. B) have no ... (Read 88 times)

abarnes · **on:** Jul 1, 2018

In the Baumol model, a change in fixed costs will

A) increase total quantity sold.
B) have no effect on total quantity sold.
C) decrease total quantity sold.
D) have an effect on total quantity sold.

Question 2

In the presence of no externalities

A) social marginal cost exceeds private marginal cost.
B) social marginal cost is less than private marginal cost.
C) social marginal cost equals private marginal cost.
D) social marginal cost and private marginal cost cannot be compared.