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ECON-1010-A-Introduction to Microeconomics

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Suppose a perfectly competitive firm is trying to decide whether to temporarily shut down to minimize total loss. If price equals average variable cost and the firm continues to produce, which of the following situations will arise?
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In a perfectly competitive market, which of the following events will increase the price that the firms charge in the short run?
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Table 11.2.1

The three columns of the table are titled Output in units per day, Total revenue in dollars, and Total colst in dollars.The rows display the data as follows:0; 0; 141; 30; 402; 60; 603; 90; 734; 120; 965; 150; 1336; 180; 1807; 210; 230

Refer to Table 11.2.1, which gives the total revenue and total cost schedules of a perfectly competitive firm. What is the market price of the good?
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In which of the following situations will perfectly competitive firms stop exiting the market?
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When a perfectly competitive firm maximizes profit, what determines the output it produces?

The firm produces the output at which marginal cost equals
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When a technological advance occurs in a perfectly competitive market, which of the following statements is incorrect?
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Which one of the following items is included in the firm's implicit rental rate of capital?
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What is the law of diminishing marginal returns?

The law of diminishing marginal returns refers to the tendency for the firm's ________ to eventually decrease as more labour is employed, everything else remaining the same.
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Table 10.3.1

Short Description: A table shows Tania's Teapots' total cost schedule.Long Description: The column heading from left to right are labour (workers per day), output (teapots per day), T F C (dollars per day), T V C (dollars per day), and T C (dollars per day). The row entries are as follows. Row 1. 0, 0, 20, 0, 20. Row 2. 1, 4, 20, blank, 45. Row 3. 2, 9, 20, blank, 45. Row 4. 3, 13, 20, blank, 95. Row 5. 4, 16, 20, 100, blank. Row 6. 5, 18, 20, 125, 145.

Refer to Table 10.3.1, which gives Tania's Teapots' total cost schedule. What is the firm's average fixed cost of producing 9 teapots per day?
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Flora's Flowers bought a new van last year for $10,000 and it can now sell the van for $8,500. But to buy this year's model of the same van it would have to pay $11,000. What is the one-year amount of economic depreciation? 
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