Refer to Scenario 17.2. The highest level of y that can be set ...

[sc00by25]

Refer to Scenario 17.2. The highest level of y that can be set and still have the high-productivity people choose to meet it is
 
  A) 90.
  B) 60.
  C) 30.
  D) 22.5.
  E) 15.

Question 2

If a competitive firm has a U-shaped marginal cost curve then
 
  A) the profit maximizing output will always generate positive economic profit.
  B) the profit maximizing output will always generate positive producer surplus.
  C) the profit maximizing output is found where MC = MR and MC is decreasing.
  D) the profit maximizing output is found where MC = MR and MC is constant.
  E) the profit maximizing output is found where MC = MR and MC is increasing.

[akpaschal]

Answer to Question 1

C

Answer to Question 2

E

[sc00by25]

TYSM

[mohan]

Excellent