Many business professionals constantly monitor their incoming email and text messages so they can appear to be alert and responsive, even at night and on weekends. Alternatively, some time management consultants recommend that business professionals should not constantly check for new messages because this practice distracts the worker from scheduled tasks that may have higher […]
Welfare mothers’ desires for their children are quite high, but their expectations are much lower. Indicate whether the statement is true or false ANSWER T
According to Scenario 8.1, Fizzle and Sizzle A) would be perfectly competitive if their purification costs were equal; otherwise, not. B) would be perfectly competitive if it costs Fizzle $500,000 yearly to keep that land. C) may or may not be perfect competitors, but their position on the river has nothing to do with it. […]
Refer to Scenario 10.3. What level of output maximizes revenue? A) 0 B) 45 C) 85 D) 125 E) 245 ANSWER D
Refer to Scenario 10.2. Suppose that in addition to the tax, a business license is required to stay in business. The license costs $1000. What is the profit maximizing level of output? A) 0 B) 90 C) 95 D) 100 E) none of the above ANSWER B
Job market signals like dressing well for interviews are not especially effective because: A) the cost of dressing well is about the same for high-quality and low-quality workers. B) many businesses have adopted casual office attire, so dressing well is not important to the firm. C) federal labor laws prohibit firms from using dress or […]
See Scenario 4.5. As the price of grilled cheese sandwiches decreases, the price elasticity of demand: A) increases. B) does not change. C) decreases. D) none of the above ANSWER B
When the price faced by a competitive firm was $5, the firm produced nothing in the short run. However, when the price rose to $10, the firm produced 100 tons of output. From this we can infer that A) the firm’s marginal cost curve must be flat. B) the firm’s marginal costs of production never […]
There were more poor people in America in 2005 than there were in 1965. Indicate whether the statement is true or false ANSWER T
The process by which sellers send signals to buyers conveying information about product quality is known as: A) asymmetric information. B) market signaling. C) a lemons problem. D) moral hazard. ANSWER B
