Author Question: The above table shows the total product schedule for the campus book store. When the book store is ... (Read 178 times)

rlane42 · **on:** Jun 29, 2018

The above table shows the total product schedule for the campus book store. When the book store is selling 60 books per hour it is certain that

A) marginal costs are increasing, but average variable costs are still decreasing.
B) both marginal and average costs are decreasing.
C) both marginal and average costs are increasing.
D) hiring one more employee per hour will lead to fewer books being sold.

Question 2

Suppose the government considers placing a tax on business profits o that businesses decrease their production and generate a deadweight loss. Revenues from the tax would be used to boost the incomes of the poor.

The decision to levy the tax implies that in this case, the government A) values people but not business.
B) values efficiency more than its view of fairness.
C) profits from taxes.
D) values its view of fairness more than efficiency.