If the wage that a competitive firm must pay its workers exceeds their value of marginal product, the firm will
A) decrease the quantity of labor it employs.
B) increase the quantity of labor it employs.
C) lower the price of the good.
D) raise the price of the good.
A
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When calculating GDP, the Bureau of Economic Analysis revises its quarterly data
A) a total of one time. B) many times over the next several years. C) a total of three times. D) a total of two times.
Which of the following statements correctly uses the concept of opportunity cost in decision making?
I. "Because my secretary's time has already been paid for, my cost of taking on an additional project is lower than it otherwise would be." II. "Since NASA is running under budget this year, the cost of another space shuttle launch is lower than it otherwise would be." A) I is true, and II is false. B) I is false, and II is true. C) I and II are both true. D) I and II are both false.
The poll tax and the flat tax are equivalent since with each, everyone is taxed a fixed percentage of income
Indicate whether the statement is true or false
Economies of scale associated with financial intermediaries means:
A. the cost per transaction falls as a larger volume of similar transactions are handled. B. the cost per transaction decreases regardless of the number of transactions. C. the cost per transaction increases as more transactions are handled. D. the total cost of handling transactions falls as more transactions of different kinds are handled.