Suppose that business firms spend $500 million on new capital equipment this year. Of this $500 million, $300 million was spent on domestically produced capital and $200 million was spent on foreign-produced capital
All else equal, these transactions contribute ________ to GDP.
A) $500 million B) $300 million C) $800 million D) $200 million E) $0
B
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When playing a game in which players are in direct competition with one another, it is best to ________ a pure strategy because the strategy is ________
A) use; predictable B) use; unpredictable C) avoid; predictable D) avoid; unpredictable
A firm has achieved technological efficiency whenever it has
A) fully depreciated all its assets. B) produced the given output using the fewest inputs. C) produced the given output at the lowest cost. D) all of the above.
What does the inflation rate measure, and what is deflation?
What will be an ideal response?
The term "quantity demanded" refers to the
A) total amount of a good that is actually purchased during a given period of time. B) total amount of a good that people wish to buy, regardless of price. C) total amount of a good that purchasers wish to purchase at a given price during a given period of time. D) product of advertising, and is unrelated to price. E) entire relationship between desired purchases and possible prices.