Hey folks,
I've got some economics homework that is killing me. Maybe you can help me out?
I'm going to post my questions if you could reply in the most simple manner I would greatly appreciate it! Please copy the questions your reply to. (copy and paste) with your selected answer and why?
1. Which cost does not vary with the level of production?
a) variable cost
b) total cost
c)fixed cost
d) average total cost
2) When labor is variable and capital is fixed, an increase in labor productivity causes the?
a)Variable costs to become constant
b) total physical product curve to shift upward
c) fixed cost curve to shift downward
d) average total cost curve to shift upward
3) In a perfectly competitive market, the difference between marginal revenue (MR) and average total cost (ATC) as the profit maximizing level of output (Q*) is called?
a) marginal cost
b) unit profit
c) fixed cost
d) marginal physical product
4) Suppose the marginal physical product (MPP) of the next worker hired is 4 units per hour. Suppose further the the products selling price is $5 and that the wage rate is $16 per hour. What should the maker of the product do?
a) Hire one more unit of labor
b)lower selling price to $4 per unit
c)reduce the level of employment
d)raise wages and hire more workers
5) The profit-seeking business firm should continue to hire workers until
a) marginal revenue product (MRP) equals zero (0)
b)marginal revenue product (MRP) equals marginal physical product (MPP)
c)marginal revenue product (MRP) equals total physical product (TPP)
d) marginal revenue product (MRP) equals the market wage rate
6) Football coaches at big universities typically have higher salaries than university presidents,
Why?
b) Football coaches belong to trade unions and university presidents do not?
c) Football coaches have higher marginal revenue products than university presidents?
Again I appreciate any help with this. Economics is not my friend