In the long run, in a competitive industry
a. economic profits are zero
b. firms break even
c. price equals average cost
d. all of the above
d
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For the U.S. economy, the largest expenditure category is:
A) government expenditures. B) net export expenditures. C) personal consumption expenditures. D) investment expenditures.
An increasing percentage of women are in the work force. Which variable does this directly affect?
a. The employment-population ratio b. Productivity c. Average hours d. Population e. Technology
Horizontal equity is a difficult concept to implement because
A. it is difficult to determine how unequally unequals should be treated. B. it is difficult to measure ability to pay. C. it is difficult to determine which people are equally situated. D. people object to the use of absolute tax liability instead of percentage of income.
An increase in demand occurs when
A. we move up the demand curve. B. the demand curve shifts to the left. C. we measure price in money price rather than real price. D. the demand curve shifts to the right.