Jelena lives in a poor country with very little capital. In contrast, Alejandro’s country is rich and has a lot of capital. The law of diminishing marginal returns to capital means that, to boost economic growth by 1 percentage point in both countries, ______.
a. Jelena’s country will need to add many more units of capital than Alejandro’s will need to
b. both countries will need to add the same amount of capital
c. Alejandro’s country will need to add many more units of capital than Jelena’s will need to
d. Alejandro’s country will need to invest a significant amount of capital in Jelena’s country
c. Alejandro’s country will need to add many more units of capital than Jelena’s will need to
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National saving is done by:
A. only households. B. only governments. C. households, businesses, and governments. D. only businesses.
Number of EmployeesTotal Output16211315418520Table 16.2 Table 16.2 gives the number of oil changes that can be performed at a local oil change business based on the number of employees hired. If the price of an oil change is $20, and workers get paid $90 per day, which of the following is equal to 3?
A. The optimal number of employees to hire B. The marginal product of the fourth employee C. The marginal revenue of the third employee D. The marginal cost of the first oil change
In the figure above, a point showing an inefficient production point is point
A) A. B) B. C) C. D) D.
The Social Security system in the United States today is
a. actuarially sound. b. composed of a private pension fund into which workers have paid and who will withdraw their invested funds upon retirement. c. currently in no danger of running out of money in the long run. d. no longer a "pay as you go" system.