1) the focus of firm decisions in the short run is primarily on? A) variable inputs B) economies of scale C) capital investment D) plant size 6) during the short run a firm cannot? A) change it's plant size B) increase its use of labor C) purchase more raw materials D) change it's variable costs 7) suppose that one worker can produce 15 cookies two workers can produce 40 cookies together and three workers can produce 75 cookies together. What is the marginal product of the 2nd worker? A) 35 cookies B) 25 cookies C) 20 cookies D) 40 cookies 11) suppose that a firm is currently producing 500 units of output. At this level of output AVC is $1 per unit and TFC is $500 what is the firms TC? A) $500 B) $501 C) $1000 D) $1500 12) to seek one more unit of good a monopolist must A) raise the prices on all goods B) lower the price on all units C) raise the price only on the last unit sold D) lower the price on the last unit only 13) compares to perfectly competitive firms the demand curve for a monopolist will be? A) more elastic B) less elastic C) as elastic D) perfectly elastic 14) average fixed cost will? A) fall as output rises B) fall then rise as output rises C) rise then fall as output rises D) rise as output rises 15) which of the following is correct? A) TC=TFC*TVC B) TC=TFC+TVC C) TC=TFC/TVC D) TC=TFC-TVC 21) under the perfectly competitive market structure the demand curve of an individual firm is? A) perfectly elastic B) downward sloping C) relatively inelastic D) perfectly inelastic 22) in a perfectly competitive industry the industry demand curve A) is downward sloping B) must be horizontal C) must be vertical D) is upward sloping 26) the market structure in which there is a single supplier of a good or service for which there is no close substitute is? A) monopoly B) perfect competition C) oligopoly D) monopolistic competition 27) in a monopoly A) the firm and the industry are the same thing B) the firm is large in an absolute sense C) the monopolist determines how much each firm will produce D) the market is small in an absolute sense 28) which of the following are barriers to entry? A) economies of scale B) all of above C) patents and copyrights D) control of resources 29) to sell more units a monopolist A) advertise more B) lower price C) raise product quality D) merely produce more units 30) the demand curve a monopoly faces is A) upward sloping B) horizontal C) downward sloping D) vertical