QUESTION 57 If both input and output markets are competitive, then in equilibrium each factor should earn: an equal share of output the value of its marginal product the amount decided by the owner of the firm Oan amount equal to the price of output times total output QUESTION 58 "If the tax on cigarettes increases, then the deadweight loss will:" increase proportional to the tax increase more than proportional to the tax decrease proportional to the tax decrease more than proportional to the tax QUESTION 59 "In general, the deadweight loss associated with an import tariff or quota becomes relatively larger when:" supply and demand are inelastic supply is elastic and demand is inelastic demand is elastic and supply is inelastic. supply and demand are elastic QUESTION 60 In the Bertrand duopoly model, each firm assumes that Orivals will match price cuts but not price increases the price of its rival is fixed rivals will match all reasonable price changes the output level of its rival is fixed
