If a competitive firm's marginal costs always increase with ...

[j.rubin]

If a competitive firm's marginal costs always increase with output, then at the profit maximizing output level, producer surplus is
 
  A) zero because marginal costs equal marginal revenue.
  B) zero because price equals marginal costs.
  C) positive because price exceeds average variable costs.
  D) positive because price exceeds average total costs.
  E) positive because revenues are increasing faster than variable costs.

Question 2

According to Table 10.2, just over 3 of college graduates are under the poverty line.
 
  Indicate whether the statement is true or false

[qytan]

Answer to Question 1

C

Answer to Question 2

T