(1) A study is conducted to determine the level of confidence the public has in the ability of the federal government to respond to a natural disaster. A random sample of 500 people was taken from each of the five major ethnic groups in the USA. A survey was given to each of the 2500 participants and a measure of confidence was computed for each participant. These measures were then summarized into an overall average level of confidence for the public as a whole. This type of study is an example of A. a double blind study. B. an observational retrospective study. C. a stratified random sample. D. a prospective case-control study. E. none of the above Solution Answer: B. an observational retrospective study..

1. (1) adam smith used a famous example of what type of firm to illustrate economies of scale?
(2)stick storage manufactures and sells computer flash drives. Last year it sold 2 million flash
drives at a price of $10 each. For last year, the firms
a) accounting profit was $20 million
b) total revenue was $20 million
c) explicit costs was $20 million
d) economic profit was $20 million
Solution
1. internal econimes of scale, he explained how a firm can maximize its production at less cost
while using all its internal resouces. he introduced the concept of work specilizaion to the firms,
which leads to increas labor productivity at lesser cost
2. total revenue is $20 million, because the total revenue= total sales * selling price of unit