Question

d. firms act to maximize revenue c. both households and firms act to minimize expenditures 8 Mark and Charles are roommates at college. Each has written a 25-page tertn Each has written a 25-page term paper for the same English class. They are equally poor typists, Charles types his own the basis of the information given, which one of the following must be truc. a. Mark is wealthier than Charles. b. Mark needs more time to study than Charles. c. Charles hates typing. d. Mark and Charles have different utilities for typing but place the same value orn Mark's opportunity cost of typing is higher than Charles's. 9. Personal income in the United States is primarily determined by selling labor services True False 10. Which resource generates the largest share of the income in the United States? labor land c. capital d. entreprencurial ability e. money 11. Which of the following did not occur during the Industrial Revolution? worker productivity increased a. b. factories became larger direct supervision of labor decreased d. division of labor increased e. fewer stages of production were organized in the household 12. Which of the following did not occur during the Industrial Revolution? Production became more reliant on highly specialized equipment. a. b. A more efficient division of labor was promoted. Workers bore much of the costs of production. The transaction costs of contracting with individual resource owners were reduced. Technological development increased the productivity of most workers. d. e. 13. A large number of businesses are organized as sole proprictorships because it is easy for them to acquire large sums of financing. a. Truc False 14. The most common form of business organization in the United States is the sole proprietorship. True False or disadvantage of the corporate form of business is limited liability False sole proprietorships cannot lower the transaction costs associated with contracting with 15. A maj a. True 16. One disadvantage of a sole proprietorship as a form of business organization is that a. resource owners