MicroEcon Ch 9,10,12

Which of the following definitions is correct?

TFC = Total Fixed Cost MC = Marginal Cost TVC = Total Variable Cost Q = Quantity of Output P = Product Price Refer to the information. Average total cost is:

If MUa/Pa = 100/$35 = MUb/Pb = 300/? = MUc/Pc = 400/?, the prices of products B and C in consumer equilibrium:

Refer to the diagram. At output level Q total fixed cost is:

The utility of a good or service:

Which of the following is most likely to be an implicit cost for Company X?

Which of the following is correct?

Which of the following is not a source of economies of scale?

Economies of scale are indicated by:

In the figure, curves 1, 2, 3, and 4 represent the:

In comparing the changes in TVC and TC associated with an additional unit of output, we find that:

Refer to the data. The value for X is:

The diagram suggests that:

A consumer is maximizing her utility with a particular money income when:

The law of diminishing returns indicates that:

The basic characteristic of the short run is that:

The law of diminishing marginal utility states that:

Ben is exhausting his money income consuming products A and B in such quantities that MUa/Pa = 5 and MUb/Pb = 8. Ben should purchase:

The basic difference between the short run and the long run is that:

In the diagram, curves 1, 2, and 3 represent the:

Economies and diseconomies of scale explain:

Accounting profits are typically:

Which of the following is most likely to be a variable cost?

Refer to the data. The average total cost of producing 3 units of output is:

Refer to the data. Diminishing marginal returns become evident with the addition of the:

Fixed cost is:

The theory of consumer behavior assumes that consumers attempt to maximize:

Refer to the data. The marginal cost of producing the sixth unit of output is:

Refer to the data. The value for Y is:

When diseconomies of scale occur:

A purely competitive firm should produce in the short run if its total revenue is sufficient to cover its:

The marginal revenue curve of a purely competitive firm:

Economists would describe the U.S. automobile industry as:

Refer to the data. At the profit-maximizing output, the firm's total revenue is:

In the short run, a purely competitive firm that seeks to maximize profit will produce:

Refer to the diagram for a purely competitive producer. If product price is P3:

A firm finds that at its MR = MC output, its TC = $1,000, TVC = $800, TFC = $200, and total revenue is $900. This firm should:

Which of the following is characteristic of a purely competitive seller's demand curve?

Refer to the short-run data. Which of the following is correct?

An industry comprised of 40 firms, none of which has more than 3 percent of the total market for a differentiated product, is an example of:

Refer to the data. The marginal revenue obtained from selling the third unit of output is:

A natural monopoly occurs when:

Refer to the diagram for a pure monopolist. Monopoly output will be:

Which of the following is characteristic of a pure monopolist's demand curve?

The MR = MC rule:

Refer to the diagrams. Firm A is a:

Refer to the two diagrams for individual firms. In Figure 2 the firm's demand and marginal revenue curves are represented by:

Pure monopoly refers to:

If a monopolist were to produce in the inelastic segment of its demand curve:

Which of the following is a characteristic of pure monopoly?

Economic Profits are calculated by subtracting:

Normal Profit is:

The basic characteristic of the short run is that:

The law of diminishing returns indicates that:

Which of the following best expresses the law of diminishing returns?

Marginal Product:

If a variable input is added to some fixed input, beyond some point the resulting extra output will decline. This statement describes:

If in the short run a firm's total product is increasing, then its:

The law of diminishing returns results in:

When total product is increasing at an increasing rate, marginal product is:

When total product is increasing at a decreasing rate, marginal product is:

Fixed cost is:

If you owned a small farm, which of the following would most likely be a fixed cost?

Marginal cost is the:

For most producing firms:

Other things equal, if the fixed costs of a firm were to increase by $100,000 per year, which of the following would happen?

If a firm decides to produce no output in the short run, its costs will be:

There is no relationship between MP and MC

If a firm wanted to know how much it would save by producing one less unit of output, it would look to:

Refer to the short-run production and cost data. In figure A curve (1) is:

In the short run:

In the short run the Sure-Screen T-shirt Company is producing 500 units of output. Its average variable costs are $2.00 and its average fixed costs are $.50. The firm's total costs:

Because the marginal product of a variable resource at the first increases and then decreases as the output of the firm is increased:

Assume a firm closes down in the short run and produces no output. Under these conditions:

The short-run average total cost curve is U-shaped because:

The sunshine Corporation finds that its cost are $40 when it produces no output. Its total variable costs (TVC) change with output as shown in the accompanying table. Use this information to answer the following question. Refer to the info. The total cost of producing 3 units of output is:

In the long run:

When diseconomies of scale occur:

When a firm does more of something, it gets better at it. This learning by-doing is:

The long-run average cost curve:

The ABC Corporation decreases all of its inputs by 12 percent and finds that its output falls by only 8 percent. This means that initially it was producing:

The utility of a good or service:

The law of diminishing marginal utility states that:

The first Pepsi yields Craig 18 units of utility and the second yields him an additional 12 units of utility. His total utility from three pepsis is 38 units of utility. The marginal utility of the third Pepsi is:

Which of the following is correct?

To maximize utility, a consumer should allocate money income so that the:

Ben is exhausting his money income consuming products A and B in such quantities that MU/Pa = 5 and MUb/Pb = 8. Ben should purchase:

A consumer is maximizing her utility with a particular money income when:

If a rational consumer is in equilibrium, which of the following conditions will hold true? MUa = MUb =MUc = . . . =MUn.

An increase in the price of product A will:

What do the income effect, the substitution effect, and diminishing marginal utility have in common?

A consumer's demand curve for a product is down sloping because:

Which of the following defines marginal utility?

After eating four slices of pizza, you are offered a fifth slice for free. You turn down the fifth slice. Your refusal indicates that the:

Refer to the above table. The consumption of which bar yields the greatest marginal utility?

An industry comprised of a very large number of sellers producing a standardized product is:

A purely competitive seller is:

Which of the following is not a basic characteristic of pure competition?

The demand schedule or curve confronted by the individual, purely competitive firm is:

If a firm in a purely competitive industry is confronted with an equilibrium price of $5, its marginal revenue:

For a purely competitive seller, price equals:

The demand curve in a purely competitive industry is _________, while the demand curve to a single firm in that industry is _________.

Marginal revenue is the:

A competitive firm will maximize profits at that output at which:

Curve (4) in the diagram is a purely competitive firm's:

Using the graph is question 61, to answer: The firm represented by the diagram would maximize its profit where:

The MR = MC rule can be restated for a purely competitive seller as P = MC because:

If a purely competitive firm shuts down in the short run:

If a fimr is confronted with economic losses in the short run, it will decide wheather or no to produce by comparing:

In the short run, a purely competitive seller will shut down if:

Which of the following is correct?

Which of the following is characteristic of a pure monopolist's demand curve?

Because of the monopolist's demand curve is downslopping:

One defining characteristic of pure monopoly is that:

Which phrase would be most characteristic of pure monopoly?

Which of the following is a barrier to entry?

The demand curve confronting a non-discriminating pure monopolist is:

Under pure monopoly, a profit-maximizing firm will produce:

Economists would describe the U.S. automobile industry as:

An industry comprised of 40 firms, none of which has more than 3 percent of the total market for a differentiated product, is an example of:

An industry comprised of a small number of firms, each of which considers the potential reactions of its rivals in making price-output decisions is called:

Which of the following statements applies to a purely competitive producer?

Monopolistic competition is characterized by a:

Under monopolistic competition, entry to the industry is:

A monopolistically competitive industry combines elements of both

Under monopolistic competition, entry to the industry is:

A monopolistically competitive industry combines elements of both competition and monopoly. It is correct to say that the competitive element results from:

The term oligopoly indicates:

In a oligopolistic market: