If inputs into production cannot be substituted for each other but have to be employed in fixed proportions isoquants are straight, downward-sloping lines
Indicate whether the statement is true or false
False. Isoquants are straight lines when inputs are perfect substitutes. When input relations are fixed they are right angles.
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The long-run equilibrium for a perfectly competitive firm occurs at the minimum point of the ________
A) total fixed cost curve B) average fixed cost curve C) average total cost curve D) marginal cost curve
The labour force participation rate is
A) the percentage of the working-age population who are employed. B) the percentage of the labour force who are employed. C) the percentage of the labour force who are unemployed or employed. D) the percentage of the working-age population who are unemployed or employed. E) none of the above.
________ refers to the time needed to identify a macroeconomic problem and assess its seriousness
a. Decision-making lag b. Implementation lag c. Recognition lag d. Effectiveness lag
Suppose both countries illustrated in Figure 35.1 specialized completely in the good they could produce with the lowest opportunity cost. What would the total production of motorcycles be?
A. 4,000. B. 8,000. C. 2,000. D. 3,000.