After reading an economics textbook about labor supply and utility maximization, Amelia Ruiz said, "I don't allocate my time like that.". Her professor replied,
a. "You caught us. Economists do not know what they are talking about.".
b. "This proves that you will always choose to spend your time in nonmarket work.".
c. "You act as if you allocated your time to derive the same expected net marginal utility from the last unit of time spent in each alternative use.".
d. "Don't you want to use your unlimited resources to satisfy your finite wants?"
e. "It is obvious that labor supply is a derived demand based on marginal revenue product.".
C
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What will be an ideal response?
There are 20 residents in the village of Towneburg. The size of the village's annual fireworks display depends upon the number of shells that are fired off. Each resident's demand for fireworks is shown below. The total cost of the fireworks display is $1,000 plus $10 per shell.
Cheap Charlie is one of Towneburg's 20 residents. While Charlie enjoys fireworks as much as the next Towneburger, when the fireworks fund-raising campaign kicks off, he claims to hate them. Cheap Charlie is trying to:
A. log-roll. B. free ride. C. rent seek. D. force the village to be more efficient.
Both monetary policy and fiscal policy were used in response to the recession of 2007–2009.
Answer the following statement true (T) or false (F)
At what point could the Euro be used as currency?
A) January 1, 1998 B) January 1, 1999 C) January 1, 2000 D) January 1, 2002