If the labor and capital grow more quickly, then real GDP will
A) not grow fast enough.
B) grow more quickly.
C) grow more slowly.
D) stay fixed at potential GDP.
B
You might also like to view...
Refer to Table 4-12. The equations above describe the demand and supply for Bubba's Fried Jellybeans. The equilibrium price and quantity for Bubba's Fried Jellybeans are $40 and 5 thousand units. What is the value of producer surplus?
A) $5 thousand B) $12.5 thousand C) $25 thousand D) $37.5 thousand
Which of the following is not a characteristic of a monopoly?
A. A monopolist faces a downward-sloping demand curve. B. There are no close substitutes for a monopolist's product. C. After the first unit, the monopolist's marginal revenue is always less than its price. D. A monopolist is a price taker.
A mathematical expression relating the amount of output produced to quantities of capital and labor utilized is the
A. real interest rate. B. marginal product. C. productivity relation. D. production function.
Engineers for the Off Road Skateboard Company determine that a 12% increase in all inputs will cause a smaller percentage increase in output. Assuming that input prices remain constant, you correctly deduce that such a change in inputs will cause ________ as output increases.
A. average costs to decrease B. average fixed costs to increase C. total costs to decrease D. average costs to increase