In the Ricardian model, comparative advantage is likely to be due to
A) scale economies.
B) home product taste bias.
C) greater capital availability per worker.
D) labor productivity differences.
E) political pressure.
D
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What effect does the televising of the Super Bowl have on the cost to the National Football League of giving someone a ticket to the game?
A) It has no effect because all the costs of playing the game are sunk costs. B) It has no effect on the cost because the demand doesn't affect cost. C) It lowers the cost because fewer people will want to buy tickets. D) It raises the cost because fewer people will want to buy tickets.
One of the widely acknowledged problems with using the consumer price index as a measure of the cost of living is that the CPI
a. fails to measure all changes in the quality of goods. b. displays a housing bias. c. accounts for changes in prices of some goods, but prices of certain goods are assumed to remain constant. d. All of the above are correct.
Automobile workers in Detroit are unemployed because robots are now being used on assembly lines but, at the same time, job vacancies exist for computer programmers. In this case, the automobile workers are an example of:
A. Cyclical unemployment. B. Structural unemployment. C. Frictional unemployment. D. Seasonal unemployment.
Which of the following is NOT correct for a perfectly competitive firm in long-run equilibrium?
A) SAC = LAC B) MR = P = AR C) MC = MR > LAC D) LAC = P