In a two-asset economy with money and T-bills, the quantity of money that people will want to hold, other things being equal, can be expected to:
a. increase as the real GDP interest rate increases.
b. decrease as the real GDP interest rate increases.
c. decrease as real GDP increases.
d. none of these.
b
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When labor is substitutable between two markets, we should expect:
A. the two markets to pay the same or similar equilibrium wage. B. those markets to produce substitutable outputs. C. the workers in the two markets to commit to one at the start of their career and stick with it, despite the similarities. D. All of these statements are true.
In long-run equilibrium, a perfectly competitive firm produces the output level that minimizes average total cost
a. True b. False Indicate whether the statement is true or false
In economics, the true cost of making a choice is the value of what must be given up.
Answer the following statement true (T) or false (F)
The derived demand curve for a resource is downward sloping because
a. the demand for products that utilize the resource is directly related to the price of the resource. b. the marginal productivity of resources will decline as their price increases. c. as the price of a resource rises, other resources will be less desirable than the higher priced resource. d. other resources will be substituted for a resource that increases in price.