The long-run supply curve of a perfectly competitive industry is horizontal
a. in an increasing-cost industry
b. in a decreasing-cost industry
c. if the short-run supply curves for firms are upward-sloping
d. if the short-run market supply curve is negatively sloped
e. in a constant-cost industry
E
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Which of the following stands true for the determinants of growth?
a. The long-run aggregate supply curve is a horizontal line at the potential level of real GDP. b. Land can be combined with labor and capital to produce goods and services. c. The labor force typically grows more rapidly in industrial countries than in developing countries because birth rates are higher in industrial countries. d. The ability of a country to invest in capital goods is tied to its ability to spend. e. The size of the labor force is a function of the size of the youth in the population and the percentage of that population that is in the labor force.
If a firm in a competitive price-searcher market finds that its marginal cost exceeds its marginal revenue at the current rate of output, it should
a. raise the price of the product and expand its output. b. raise the price of the product and reduce its output. c. lower the price of the product and expand its output. d. lower the price of the product and reduce its output.
What does each party in international trade anticipate from the exchange?
a. reinforcement of its cultural heritage b. an imbalance in the trade relationship c. improvement in its economic welfare d. deception on the part of its trading partners
The official poverty rate for all persons declined sharply between 1959 and:
A. the 2000s. B. the 1970s. C. the 1980s. D. the 1990s.