« previous next »

Author Question: The figure above shows short-run cost curves for a perfectly competitive firm. If the price of the ... (Read 56 times)

Redwolflake15

  • Hero Member
  • *****
  • Posts: 569
on: Jun 29, 2018
The figure above shows short-run cost curves for a perfectly competitive firm. If the price of the product is 8 and the firm does not shut down, the firm's output in the short run
 
  A) will be 0.
  B) will be between 0 and 10.
  C) will be 10 or higher.
  D) cannot be determined without more information.

Question 2

What are fiscal and monetary policies? Do they have an immediate effect on the AD curve or the SAS curve?
 
  What will be an ideal response?


mcomstock09

  • Sr. Member
  • ****
  • Posts: 377
Reply #1 on: Jun 29, 2018
Answer to Question 1

B

Answer to Question 2

Fiscal policy is defined as changes in government spending and taxation to affect the level of economic activity. Monetary policy consists of changing interest rates and changing the quantity of money in the economy in order to affect the level of economic activity. Both policies have an impact on the AD curve.


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
« previous next »
 

Did you know?

Though Candida and Aspergillus species are the most common fungal pathogens causing invasive fungal disease in the immunocompromised, infections due to previously uncommon hyaline and dematiaceous filamentous fungi are occurring more often today. Rare fungal infections, once accurately diagnosed, may require surgical debridement, immunotherapy, and newer antifungals used singly or in combination with older antifungals, on a case-by-case basis.

Did you know?

There are immediate benefits of chiropractic adjustments that are visible via magnetic resonance imaging (MRI). It shows that spinal manipulation therapy is effective in decreasing pain and increasing the gaps between the vertebrae, reducing pressure that leads to pain.

Did you know?

ACTH levels are normally highest in the early morning (between 6 and 8 A.M.) and lowest in the evening (between 6 and 11 P.M.). Therefore, a doctor who suspects abnormal levels looks for low ACTH in the morning and high ACTH in the evening.

Did you know?

People about to have surgery must tell their health care providers about all supplements they take.

Did you know?

The longest a person has survived after a heart transplant is 24 years.

Treatment of Depression with Ketamine The graph shows the effects of ketamine on symptoms of depress Treatment of Depression with Ketamine The graph shows the effects of ketamine on symptoms of depress
James Madison was a key figure at the Constitutional Convention of 1787 in Philadelphia. He not only James Madison was a key figure at the Constitutional Convention of 1787 in Philadelphia. He not only
John Lewis Krimmel’s painting of the Fourth of July in Centre Square Philadelphia (1812) shows the d John Lewis Krimmel’s painting of the Fourth of July in Centre Square Philadelphia (1812) shows the d
Figure and Ground Figure and Ground
Construct a Lorenz curve that shows income distribution in this society. Construct a Lorenz curve that shows income distribution in this society.
Juan's Software Service Company is in a perfectly competitive market. Juan has total fixed ... Juan's Software Service Company is in a perfectly competitive market. Juan has total fixed ...
Video: Cleavage and Implantation Animation

For a complete list of videos, visit our video library