If the Fed is concerned about inflation, its actions ________ long-term interest rates so that investment ________ and net exports ________
A) lower; increases; decrease
B) raise; decreases; decrease
C) lower; increases; increase
D) raise; increases; increase
E) lower; decreases; decrease
B
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In the capital market, the purchase price is what a:
A. producer pays to use a factor of production for a certain period or task. B. producer pays to gain permanent ownership of a factor of production. C. consumer pays to use labor or land services for a certain period or task. D. consumer pays to gain permanent ownership of a factor of production.
Ultimately, the source of growth in real wages is the growth in labor productivity
a. True b. False Indicate whether the statement is true or false
For which of the following workers would the income effect be more likely to outweigh the substitution effect of an increase in wage?
a. gardener b. teacher c. professional athlete d. plumber
Whether marginal revenue is constant or decreasing depends on
A. whether the firm is benefiting from the division of labor. B. whether the firm is dealing with diminishing returns. C. whether the firm faces competition. D. how much the firm sells.