Human capital is defined as the:
A. amount of capital that is operated by workers in a firm.
B. amount of capital that is operated by workers in an industry.
C. amount of workers a firm employs.
D. set of skills, knowledge, experience, and talent that determine the productivity of workers.
D. set of skills, knowledge, experience, and talent that determine the productivity of workers.
You might also like to view...
When conducting cost-benefit analysis, it is important to ignore previously incurred costs and previously received benefits
Indicate whether the statement is true or false
Marginal cost is best defined as
a. a cost that does not vary with the rate of output. b. the difference between fixed and variable cost at any level of output. c. the amount added to total cost when one more unit of output is produced. d. the difference between price and average total cost at the profit-maximizing level of output.
Give an example of a firm that decides to shut down because it cannot cover variable costs. Use hypothetical numbers and avoid using any examples provided in the text.
What will be an ideal response?
Opportunity cost
A) can only be measured as a paid cost. B) is always the value of the next best forgone opportunity. C) does not exist since there are no receipts. D) is always the lowest valued alternative.