Yeah because I’m hungry but i can’t eat
Answer:
The correct answer is letter "A": If marginal revenue is greater than marginal cost, the firm should increase its output.
Explanation:
Marginal revenue is the return of producing one more unit of a given product. Its marginal costs are the expenses incurred while producing one more sample. Only when the marginal revenue is higher than the marginal cost, it is reasonable for the company to increase production levels.
Answer: See explanation
Explanation:
The increase in income for Spendia will be:
= 1 / (1 - MPC)
where MPC = 0.8
= 1 / (1 - 0.8)
= 1 / 0.2
= 5
Increase in income = Gross investment × multiplier
= $100 × 5
= $500 million
The increase in income for Savia will be:
= 1 / (1 - MPC)
where MPC = 0.5
= 1 / (1 - 0.5)
= 1 / 0.5
= 2
Increase in income = Gross investment × multiplier
= $100 × 2
= $200 million
In an experiment, raising his hand would be the dependent variable.