If all resources used in the production of a product are increased by 20 percent and output increases by 20 percent, then there must be:
A. Economies of scale
B. Diseconomies of scale
C. Constant returns to scale
D. Increasing average total cost
C. Constant returns to scale
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In which of the following countries does health insurance not pay for most preventive care procedures?
A) Canada B) Japan C) the United Kingdom D) the United States
Among marketable government securities, the largest dollar volume is in the form of
A) Treasury bonds. B) Treasury notes. C) Treasury bills. D) federal funds.
If the wages of the workers that harvest corn each fall decreases, ceteris paribus, then the
A. Demand curve for corn will shift right. B. Supply curve for corn will shift left. C. Supply curve for corn will shift right. D. None of the choices are correct.
Economies of scope exist between book publishing and magazine publishing if
A) the cost of publishing a magazine is lower for book publishers than for other firms. B) the cost of publishing a magazine is lower for firms that publish many magazines than for firms that publish only one magazine. C) the cost of publishing a book falls over time as the publisher acquires more experience. D) the cost of a publishing a book is not subject to diminishing marginal returns.