Monopolistically competitive firms face downward sloping residual demand curves because these firms
A) have relatively few rivals (compared to competition).
B) sell differentiated products.
C) A and/or B.
D) None of the above.
C
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Technological change can increase the demand for loanable funds because it
A) decreases the need for additional equipment. B) increases people's expected future disposable income. C) lowers the interest rate. D) has little effect on production cost. E) can increase the expected profit.
Which of the following would an economist classify as capital?
a. 100 shares of Microsoft stock b. a $50 bill c. a credit card d. a lawyer's personal computer e. a bauxite mine in Jamaica
If the dollar appreciates:
a. imports to the United States become more expensive for foreigners b. exports from the United States become more expensive for foreigners c. imports become more expensive for U.S. citizens. d. exports from the United States become cheaper e. the dollar will exchange for fewer units of a foreign currency
The convergence theory states that:
A. rich countries tend to leapfrog ahead maintaining the gap in global development. B. poor countries tend to converge together and stagnate. C. poorer countries will grow faster than rich ones. D. rich countries will grow faster than poor ones.