Under producer-producer rivalry, individual firms want to sell the product at the maximum price consumers will pay, but are unable to do this because of:
Multiple Choice Quizzes with Answer in English (Page: 424)
The behavior of bidders in an auction is an example of:
Negotiations between the buyer and seller of a new house is an example of:
If a producer offers a price that is in excess of a consumer’s valuation of the good, the consumer:
Suppose total benefits and total costs are given by B(Y) = 100Y – 8Y2 and C(Y) = 10Y2. What is the maximum level of net benefits?
Suppose total benefits and total costs are given by B(Y) = 100Y – 8Y2 and C(Y) = 10Y2. What level of Y will yield the maximum net benefits?
Suppose total benefits and total costs are given by B(Y) = 100Y – 8Y2 and C(Y) = 10Y2. Then marginal costs are:
Suppose total benefits and total costs are given by B(Y) = 100Y – 8Y2 and C(Y) = 10Y2. Then marginal benefits are:
Given the benefit function B(Y) = 400Y – 2Y2, the marginal benefit is:
Given the cost function C(Y) = 6Y2, what is the marginal cost?
In order to maximize net benefits, firms should produce where:
The difference between marginal benefits and marginal costs are the:
The change in net benefits that arise from a one unit change in quantity is the:
The difference between marginal benefits and marginal costs are the:
The change in net benefits that arise from a one unit change in quantity is the:
The additional cost incurred by using an additional unit of the managerial control variable is defined as the:
The additional benefits that arise by using an additional unit of the managerial control variable is defined as the:
To maximize profits, a firm should continue to increase production of a good until:
Suppose the interest rate is five percent, the expected growth rate of the firm is two percent, and the firm is expected to continue forever. If current profits are $1,000, what is the value of the firm?
A firm will have constant profits of $100,000 per year for the next four years and the interest rate is six percent. Assuming these profits are realized at the end of each year, what is the present value these future profits?