In a value added production function like the one used in the text, raw materials are

A. called intermediate goods.
B. called final goods.
C. are counted in the final product of any production process as part of the value of output.
D. counted as inputs in a production process.


Answer: A

Economics

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Answer the following statement true (T) or false (F)

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A) downward-sloping; can influence B) horizontal; can influence C) horizontal; cannot influence D) downward-sloping; cannot influence

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A. understate the effect of a recession on employment because some leave the labor force. B. overstate the effect of a recession on employment because some leave the labor force. C. understate the effect of a recession on employment because many enter the labor force. D. overstate the effect of a recession on employment because many enter the labor force.

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Economics