In an oligopolistic market firms do not determine the provision of

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42. In capitalism, market forces do not determine the provision of public goods because they are non-rivalrous and non-excludable, making it difficult for private firms to profit from their provision. C. public goods 43. Census figures are not often reliable because they can be manipulated or falsified for political reasons, leading to inaccurate data. A. they are falsified for political gains 44. The law of diminishing returns states that as more units of a variable input are added to a fixed input, the marginal product of the variable input will eventually decrease. This helps an entrepreneur understand the optimal quantity of variable inputs to use. A. the limit to the amount of variable inputs the entrepreneur can employ. 45. A gas cooker used by a food vendor is a tool or equipment used in the production process to create other goods (food). This classifies it as a capital good. D. capital 46. Treasury bills are short-term debt instruments, and long-term development loans are long-term debt instruments. Both are traded in the broader financial market, which includes both money markets (for short-term instruments) and capital markets (for long-term instruments). A. financial market 47. Step 1: Understand demand elasticity and total revenue. If demand is inelastic, increasing the price will increase total revenue. If demand is elastic, decreasing the price will increase total revenue. Step 2: Apply to the given scenario. Between October and December, demand is inelastic, so the farmer should increase price to increase total revenue. At other months, demand is elastic, so the farmer should reduce price to increase total revenue. B. increase price between October and December and reduce price at other months in the year 48. The income approach to calculating national income sums up all incomes earned by factors of production. These include rent for land, wages for labor, interest for capital, and profit for entrepreneurship. B. rent, wages, interest and profit paid to factor inputs 49. Derived demand means that the demand for a good or service arises from the demand for another good or service that it helps to produce. For example, the demand for car tires is derived from the demand for cars. A. it is used in the production of other goods 50. In the short run, the supply of perishable goods like fresh tomatoes cannot be easily increased or decreased in response to price changes due to factors like growing seasons and limited storage. This makes their supply relatively unresponsive to price changes. B. inelastic supply

In an oligopolistic market firms do not determine the provision of

Step-by-step solution

Understand demand elasticity and total revenue.

Apply to the given scenario.

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