Author Question: Troll Corporation sells dolls for 10.00 each in a market that is perfectly competitive. Increasing ... (Read 40 times)

dejastew · **on:** Jun 30, 2018

Troll Corporation sells dolls for 10.00 each in a market that is perfectly competitive. Increasing the number of workers from 100 to 101 would cause output to rise from 500 to 550 dolls per day. The marginal revenue product for the 101st worker is:
a. 10.00.
b. 500.
c. 5,000.
d. 1,010.

Question 2

Long-run economies of scale exist over the range of output for which the long-run average cost curve:
a. is constant.
b. is falling.
c. is rising.
d. does not exist.