If a tax is imposed on a market with inelastic demand and elastic supply, then
A. it is impossible to determine how the burden of the tax will be shared.
B. sellers will bear most of the burden of the tax.
C. the burden of the tax will be shared equally between buyers and sellers.
D. buyers will bear most of the burden of the tax.
D. buyers will bear most of the burden of the tax.
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Which type of unemployment leads to a natural rate of unemployment above zero?
A. The natural rate of unemployment is always zero. B. Frictional unemployment C. Unemployment of government workers D. Cyclical unemployment
What is the value of a newly issued 3-year bond with a face value of $5,000 and no coupon payments? Assume the interest rate is 8 percent (0.08) per year
a. $4,629.63 b. $5,000.00 c. $3,969.16 d. $3,756.57 e. $4,545.45
The term scarcity in economics refers to the fact that:
a. No country can produce enough products to satisfy everybody's economic wants b. Even in the richest country some people go hungry c. Economic wants are limited and resources are abused d. It is impossible to produce too much of any particular good or service in a market economy
Which of the following is TRUE for a firm in the long run?
A. Variable costs will initially increase and then decrease. B. All costs are variable costs. C. The law of diminishing marginal product holds. D. Variable costs will equal marginal cost at all output levels.