Economic theory suggests that the standard of living of American workers would rise if

a. the minimum wage were doubled.
b. technological setbacks lowered output per worker hour.
c. the amount of physical capital increased.
d. automation was outlawed.


c. the amount of physical capital increased.

Economics

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Suppose you reserve a hotel room in Madrid for $300 per night

When you check out, you are charged only $285 per night. Assuming that the price of the room in euros had not changed, and that the nominal exchange rate had been 0.8 (euros/$) when the reservation was made, the new nominal exchange rate is ________. A) 0.84 B) 0.76 C) 0.95 D) 1.05

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Economies of scope are present when a bank also sells insurance and provides brokerage services for stocks and bonds

a. True b. False Indicate whether the statement is true or false

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A publicly traded firm has 4 million shares of stock outstanding, with a current share price of $50. The value of its plant and equipment is $250 million. Its profit annually is $50 million. The average cost of capital is approximately

a) 5% b) 10% c) 15% d) 20% e) 25%

Economics