Firms organize production by using a mixture of two systems: (1 ) command systems and (2 ) incentive systems
Indicate whether the statement is true or false
TRUE
You might also like to view...
Most economists believe that a zero rate of unemployment
A) is obtainable with the correct monetary policy. B) would result in a better functioning economy. C) is inconsistent with a well-functioning economy. D) is obtainable only if the inflation rate is also zero.
An automatic stabilizer is a feature of the economy that
a. makes prices "sticky." b. reduces its sensitivity to shocks. c. maximizes its volatility. d. automatically reduces recessionary trends.
Which is the most accurate statement?
A. The most important aspect of oligopoly is product differentiation. B. An oligopolistic industry cannot have more than five firms. C. There are virtually no oligopolies in the U.S. D. There are a whole range of oligopolistic models, from a cartel to cutthroat competition.
In the classical range of the aggregate supply curve, greater spending for consumer and investment goods results in:
A. stagflation. B. more unemployment. C. greater output. D. a higher price level.