Your father tells you he earned $1.50 per hour when he was 16 in 1969 . Given that the CPI was 36.0 in 1969 and 215 in 2008, how much would you have to earn in 2008 in order to have the same real wage as your father in 1969?
a. $1.50
b. $5.00
c. $8.95
d. $15.00
C
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The gross domestic product of a small country is $4,150,000 and the size of its employed labor force is 5,000. The income per worker of the country is ________
A) $620 B) $213 C) $830 D) $445
When the price of tacos rises 4 percent, the quantity demanded decreases 10 percent. What is the price elasticity of demand for tacos?
A) 40.0 B) 25.0 C) 0.4 D) 2.5 E) 10.0
Mika borrows $100,000 to start up her own beauty shop. She pays 5 percent interest on her loan. In order to account for all costs of her business, Mika must not forget:
A. the implicit cost of $100,000. B. the implicit cost of $5,000. C. the explicit cost of $105,000. D. the explicit cost of $5,000.
Suppose an increase in disposable income from $3 trillion to $3.2 trillion increases consumption from $2.5 trillion to $2.6 trillion. The marginal propensity to consume is _____
a. 0.1 b. 0.2 c. 0.5 d. 0.8 e. 0.9