Suppose the supply of dollars increased from S1 to S2 in Figure 36.3. As a result of this change,

A. The Swiss franc will lose value worldwide.
B. A trade surplus will be created in Switzerland.
C. Swiss chocolate imports to the United States will be lower-priced.
D. U.S. computer exports to Switzerland will be lower-priced.


Answer: D

Economics

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Which of the following profit functions exhibits a linear production function?

A. ? = P × (3K + 4L) ? 20L ? 35K B. ? = P × (3K0.5 + 4L0.5)1/0.2 ? 20L ? 35K C. ? = P × min(2L, 5K) ? 20L ? 35K D. ? = P × K0.75L0.50 ? 20L ? 35K

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Alyssa runs a "Dessert of the month" delivery service. To operate her business each year, she spends $30,000 on baking supplies (flour, sugar, etc.), $50,000 on rent for her shop, and $5,000 for utilities. She owns her delivery van, estimating that in alternate uses it could generate $15,000 in income per year. Alyssa has other funds tied up in the business that could earn her $2,000 per year in interest. Alyssa has been offered $50,000 to work full time at a competing bakery. Her bakery generates $160,000 per year in revenue from subscriptions to her monthly service.Based on the information above, which of the following is true about Alyssa's costs and profits?

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Economics

The capricious universe view indicates that:

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Economics

The rate-of-return regulated public utility can have incentive to use more capital than is efficient relative to other inputs

Indicate whether the statement is true or false

Economics