econ exam day staudy guild

the opportunity cost to a city for using local tax revenues to construct a new park is the

best alternative foregone by building the park

Suppose both a monopolist and a perfectly competitive firm charge a price corresponding to the quantity at the intersection of the marginal cost and marginal revenue curves. If this price is between each firm's average variable cost and average total cost curves,

both firms will continue to operate in the short run

when economists want to hold a number of factus constant, they are demonstrating

ceteris paribus

a price discrimination monopoly charges the lowest price to the group that

has the most elastic demand

the negative slope of the demand curve reflect the

inverse relationship between price and quantity

If an economy is operating at a point inside the production possibilities curve,

its resources are not being used efficiently

because a monopolistically competitive market is characterized by

many smaller selling a differentiated product each seller has some influence over its own

you should choose to do something if the extra benefit

outweighs the extra cost

if the price of labor falls we can expect

quantity demanded of labor will increase

which of the following statements concerning the supply of labor is true

typical labor supply curve is upward sloping