Answer to Question 1
The statement is true. Perfectly competitive firms produce where price is equal to marginal cost. If no externalities are present, the price of the product measures the full benefits to society of an additional unit of output, and the marginal cost measures the full costs to society of an additional unit of output. Thus, output is produced up to the point where the additional value from producing another unit the good is equal to the additional cost of producing another unit of the good.
Answer to Question 2
The reasons that interest rates are different have to do with many other factors than the ones mentioned. Most notably the credit-worthiness of the firm will play a role and the expected ability of the firm to be able to satisfactorily pay back the loan.
Epidemiologists look for the causes of disease, such as toxic waste and industrial pollution, at the
(Left panel) The transition level (TL) for moving out of the parental home for 240 young men and ...
Example of a patient statement.
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Projections of global temperature depend heavily on the level of future greenhouse gas emissions
U.S. Subsurface Coal Mining: Output, Price, and Output per Worker-Hour, 1949–1994