What accounts for specialization?
a. People specialize in the activity in which their opportunity costs are at a maximum.
b. People specialize in the activity in which their opportunity costs are lowest.
c. People do not specialize in any activity.
d. People specialize in the activity that pays the highest wage.
e. People specialize in the activity that they enjoy the most, no matter what the salary is.
b
You might also like to view...
In a certain economy, the components of aggregate spending are given by: C = 60 + 0.6(Y - T) - 1,000rI = 200 - 1,000rG = 200NX = 50T = 100Given the information about the economy above, what is the short-run equilibrium output if the real interest rate is 4 percent?
A. 925 B. 450 C. 1,125 D. 370
Near the end of the eighteenth century, the dollar:
a. was a nickname for the Spanish Peso. b. was more plentiful than any other coin. c. was customarily used to reckon accounts. d. All of the above are correct.
Which of the following statements is false?
A) Real GDP in the United States was approximately seven times greater in 2012 than in 1950. B) The U.S. population was approximately twice as large in 2012 than in 1950. C) Nominal GDP in the United States was approximately seven times greater in 2012 than in 1950. D) Real GDP is GDP adjusted for price changes.
The demand for foreign currency in the United States is a
A. direct demand based on the demand for U.S. dollars. B. derived demand based on the demand for U.S. products. C. derived demand based on the demand for foreign products. D. direct demand.