At one time, sea lions were depleting the stock of steelhead trout. One idea to scare sea lions away from the Washington coast was to launch fake killer whales, which are predators of sea lions. The cost of making the first whale is $16,000 ($5,000 for materials and $11,000 for the mold). The mold can be reused to make additional whales, and so additional whales cost $5,000 each. Based on these numbers, the average total cost of making five fake killer whales would be:
A. $11,000.
B. $36,000.
C. $7,200.
D. $5,000.
Answer: C
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A. balanced budget consistent with full-employment B. money supply, which is based on the gold standard C. rapid pace of economic growth D. full-employment, noninflationary level of total output
A time-series graph reveals whether there is a ________, which represents ________
A) trend in a variable; a general tendency for the variable to rise or fall B) relationship between two variables; a cross-section relationship C) trends in two variables; unrelated variables D) relationship between two variables; a trend in a variable E) cross-section relationship; a general tendency for the variables to rise or fall
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At the time of Carol's 10 year high school reunion she was earning $30,000 and the CPI was 90. Now that it is time for her to attend her 20 year high school reunion, Carol's income has risen to $65,000 and the CPI is 200. At her 20 year reunion, can Carol rightfully brag that her real income has risen since the last time she saw her former classmates ten years ago?
A) Yes, Carol's real income rose during that 10 year period. B) No, Carol's real income fell during that 10 year period. C) No, Carol's real income remained constant during that 10 year period. D) It is impossible to determine what happened to Carol's real income.