20) Solution: political pressure will likely prevent the withdrawl of the tariff when the industry matures
Explanation: The basic problem with using the infant industries argument to justify protectiion of the industry from global competition is that once in place, it is tough to remove protection even when the industry matures.
21) Solution: If taxes are over 50 percent of national income, job creation falls.
Explanation: The positive economics focuses on facts and cause-and-effect behavioral relationships.
22) Solution: 1,000 units
Explanation: The short run average total cost, and long run average total cost are equal at 1,000 units; the lowest level when short run average total cost cuts long run average total cost
23) Solution: 1,000 units of output per week
Explanation: The short run average total cost, and long run average total cost are equal at 1,000 units of output per week, thus it will be economies of scale.
a-What are the daily total fixed costs of producing LCD screens? b-What are the total variable...
12.00 11.00- 10.00- 9.00- 8.00- AVC 7.00- The diagram to the right displays short-run cost curves for a facility that produces liquid crystal display (LCD) screens for cell phones. a. What are the daily total fixed costs of producing 300 LCD screens? $(Round your answer to the nearest penny.) b. What are the total variable costs of producing 300 LCD screens per day? $ (Round your answer to the nearest penny.) c. What are the total costs of producing 300...
Marginal Cost (dollars) Marginal Physical Total Total Product of Variable Fixed Variable Input Fixed Input Input Variable Cost Cost Output (units) (units) (units) (units) (dollars) (dollars) $500 $0 $500 $200 $500 $400 $500 $600 $500 $800 $500 $1000 Refer to Exhibit 21-3. The average variable cost of producing 45 units of output is a. S2.44 (E) b. S1.60. c. $2.00. d. S1.33. e. $13.33.
Question 26 1 pts Output Fixed (Q) Costs $500 Variable Costs $200 Total Costs Average Fixed Average Average Total Marginal Costs Variable Costs Costs Costs $800 $75 $875 $925 $100 $625 What is the fixed cost of producing 3 units of the good? O $700 O $500 O $875 $375 $1,000
19. Table 13-16 Quantity Total Cost Fixed Cost Variable Cost Marginal Cost Average Fixed Cost Average Variable Average Total Cost 0 $24 $16 $50 $108 Refer to Table 13-16. What is the fixed cost of producing units of output? a. $16 b. $24 C. $12 d. $0 20. Refer to Table 13-16 in Question 19. What is the total cost of producing 2 units of output? a $76 b. $74 C. $58 d. $50 21. Refer to Table 13-16 in...
Problem3 In the short run, a firm's total costs of producing 5 units of output equal $95. If it produces 6 units its total costs will increase to $117.88. See pages 491-497 a. What is the marginal cost of the 6th unit of output? b. What is the firm's average total cost of producing 5 units? c. What is the firm's average total cost of producing 6 units? d) How is it that the average cost is increasing? Please explain.
Question 23 1 pts Average Variable Marginal Average Fixed Costs Average Total Costs Costs Total Costs Output (Q) Fixed Costs Variable Costs Costs $500 $200 1 $800 2 $875 $75 3 $925 4 $100 5 $625 What is the total cost of producing five units of the good? $1,050 $1,025 $825 $1,000 $950
Question 11 Economic profit equals total revenue minus total costs including explicit fixed costs, explicit variable costs, implicit fixed costs, and implicit variable costs. True False Question 12 4 pt If Economic profit equals zero, then the firm should shut down in the short run and go out of business in the long run. True e False The period of time long enough to allow a firm to vary all of its inputs, to adopt new technology, and to increase...
QUESTION 1 Table 13-16 Quantity Total Cost Fixed Cost Variable Cost Marginal Cost Average Fixed Cost Average Variable Cost Average Total Cost 0 $24 $50 3 $108 $40 Refer to Table 13-16. What is the total cost of producing 2 units of output? a. $76 b. $50 c. $58 d. $74 Figure 14-13 Suppose a firm in a competitive industry has the following cost curves: sem MC ATC AVC Refer to Figure 14-13. If the price is $6 in the...
56,57
Exhibit 89 Marginal cost Average total cost Dollars per unit Average variable cost 92999 Quantity per period 56. Refer to Exhibit 8.9, which shows a perfectly competitive firm's short-run output decisions. At price Pa, the form a. produces nothing. b. produces at a specific output to minimize its short-run loss. c. earns short-run economic profit by producing at a specific output. d. is indifferent between producing and shutting down. e, produces at a specific output to earn a normal...
Matching (15 pts) a.) Average fixed costs b.) Average product c.) Average total cost d.) Average variable cost e.) Diseconomies of scale f.) Economies of scale 9.) Fixed costs m.) Optimal output rule h.) Law of diminishing marginal productivity n.) Profit i.) Long run 0.) Short run 1.) Marginal cost p.) Total cost k.) Marginal product q.) Total product 1.) Marginal revenue r.) Variable costs 1.) Total revenue minus total cost 2.) The sum of total fixed and total variable...