#10

After the technological change, consider how much US. and rms in the Rest of the World will produce at a price of P1. tinned States Oil Producer Stunit Stunit \"5 q' q?\" Output 0 C The blue box labeled A is the prot the rm would earn before the technological change at a price P1. C The blue box labeled A is the prot the rm would earn after the technological change at a price P1. [: The blue box labeled A is the loss the rm would earn before the technological change at a price P1. C The blue box labeled A is the loss the rm would earn after the technological change at a price P1. C The blue box labeled A is the prot the rm would earn if it produced the quantity that minimized ATC. C The blue box labeled A is the loss the rm would earn if it produced the quantity that minimized ATC. C] If the rm produces the quantity where ATC is minimized it is maximizing prot or minimizing loss. C] If the rm produces the quantity where ATC is minimized it is not maximizing prot or minimizing loss. Consider how the introduction of the new technology affects the market supply curve. Unied StatOI Producer Shunt a: m Ch 4. Output World on Market uni'l Output 0 C] After the technological change and in the short run, entry of new rms will shift the market supply curve to 52. C] After the technological change and in the short run, entry of new rms will shift the market supply curve to 53. C] After the technological change and in the short run, existing rms in the U.S. will increase output and shift the market supply curve to 52. C] After the technological change and in the short run, existing rms in the U.S. will increase output and shift the market supply curve to 53. C] After the technological change and in the short run, existing rms int he U.S. will decrease output and shift the market supply curve to 52. O After the technological change and in the short run, existing firms in the U.S. will decrease output and shift the market supply curve to S3. After the technological change and in the short run, existing firms in the U.S. and the Rest of the World will increase output and shift the market supply curve to S2. O After the technological change and in the short run, existing firms in the U.S. and the Rest of the World will increase output and shift the market supply curve to S3. O) After the technological change and in the short run, existing firms in the U.S. and the Rest of the World will decrease output and shift the market supply curve to S2. O After the technological change and in the short run, existing firms in the U.S. and the Rest of the World will decrease output and shift the market supply curve to S3.Consider how the short run change in price affects firm's ouput. United States Oil Producer S/unit P1 Rest of World Oil Producer. MC3 MC, S/unit ATC/ AVC Ps ATC, Ps PA P2 Output O In the short run, the technological change will cause the price to fall from P1 to P2. In the short run, the technological change will cause the price to rise from P1 to P3. O In the short run after the technological change U.S. firms will produce q1 units of the good. In the short run after the technological change U.S. firms will produce q2 units of the good. In the short run after the technological change U.S. firms will produce q3 units of the good. O In the short run after the technological change U.S. firms will produce q4 units of the good.O) In the short run after the technological change firms in the Rest of the World will produce as units of the good. O) In the short run after the technological change firms in the Rest of the World will produce q6 units of the good. O) In the short run after the technological change firms in the Rest of the World will produce q7 units of the good. O In the short run after the technological change firms in the Rest of the World will produce q: units of the good. In the short run after the technological change U.S. firms will shut down. O) In the short run after the technological change firms in the Rest of the World will shut down.Consider the short run prots and losses of rms after the technological change. Unied 518mm! Producer World 0] Market C] The blue box is not short run prots of a U.S. rm after introduction of the new technology, the increase in short run output, and the drop in price from P1 to P2 because the rm has not adjusted output to the drop in price. C] The blue box is the short run prots of a US. rm after introduction of the new technology, the increase in short run output, and the drop in price from P1 to P2. C] The red box is the short run prots of a rm in the Rest of the World after introduction of the new technology, the rm adjusting short run output, and the drop in price from P1 to P2. C] The red box is not the short run prots of a rm in the Rest of the World after introduction of the new technologyand the drop in price from P1 to P2 because the rm would shut down in the short run. C] None of the answers are correct. Consider the long run changes in the market. United States Oil Producer S/unit P P P2 P. World Oil Market S. 91 92 P Rest of World Oil Producer. MC3 MC, S/unit P 3 P P P2 PA DA Q 97 OutputO In the long run, additional increases in the output of existing firms in the U.S. will shift the short run supply curve from S2 to S4 and cause the price of oil to fall from P2 to P4. O In the long run, additional increases in the output of existing firms in the Rest of the World will shift the short run supply curve from S2 to S4 and cause the price of oil to fall from P2 to P4. O In the long run, the entry of new firms in the U.S. will shift the short run supply curve from S2 to S4 and cause the price of oil to fall from P2 to P4. O In the long run, the entry of new firms in the Rest of the World will shift the short run supply curve from S2 to S4 and cause the price of oil to fall from P2 to P4. O In the long run, the entry of new firms in the U.S. and the exit of firm in the Rest of the World will shift the short run supply curve from S2 to S4 and cause the price of oil to fall from P2 to P4. O Firms will stop entering when price falls to the min ATC of U.S. firms after the technological change. O Firms will stop entering when price falls to the min ATC of firms in the Rest of the World after the technological change.Consider the short and long run losers and beneficiaries of the technological change. O In the short run, only consumers in the U.S. benefit from the new technology. O In the short run, only consumers in the Rest of the World benefit from the new technology. O In the short run, consumers everywhere benefit from the new technology. O In the short run, only producers in the U.S. benefit from the new technology. O In the short run, only producers in the Rest of the World benefit from the new technology. O In the short run, producers everywhere benefit from the new technology. O In the long run, only U.S. consumers benefit from the new technology. In the long run, only consumers in the Rest of the World benefit from the new technology. In the long run, consumers everywhere benefit from the new technology. O In the long run, only U.S. firms benefit from the new technology. O In the long run, only firms in the Rest of the World benefit from the new technology. O In the long run, only U.S. firms don't benefit from the new technology and foreign firms are left worse off because they are forced out of business. If you are a consumer in a foreign country, technolgical improvements made by U.S. firms that are implemented only in the U.S. make people all over the world better off